News stories from Thursday October 2, 1975

Summaries of the stories the major media outlets considered to be of particular importance on this date:

In a major victory for the Ford administration, the House voted to reverse itself and ease the eight-month arms embargo against Turkey. The bill, which passed by a vote of 237 to 176, now goes back to the Senate, which can either accept a change made in it by the House or send the measure to a Senate-House conference committee. [New York Times] As President Ford welcomed Emperor Hirohito on the South Lawn of the White House, the Japanese leader indicated regret over Japan's role in World War II and said he hoped his visit to this country would contribute to "everlasting friendship" between the people of their two nations. [New York Times] A Senate hearing found evidence that the Central Intelligence Agency and the Federal Bureau of Investigation had used the Internal Revenue Service, apparently illegally, to harass groups they considered politically threatening. For example, it became known that the F.B.I. had obtained a list of contributors from tax returns in a plan to disrupt the fundraising of the Rev. Dr. Martin Luther King Jr.'s Southern Christian Leadership Conference. [New York Times] Twelve New York State counties, including Queens, Westchester and Rockland, were named by President Ford as major disaster assistance areas. Thousands of victims of last week's torrential rains can recover up to a total of $100 million in grants and loans for the losses they suffered. [New York Times] Arthur Burns, chairman of the Federal Reserve Board, told the House Budget Committee that "if the [New York City] financial crisis is not resolved it could injure the recovery process that is now under way in our national economy." Dr. Burns, who declined to elaborate on the statement, has previously made clear that the Federal Reserve would act to insulate the banking system from the shock of a financial default by the city but would take no steps to bail out the city or the state. [New York Times] The W.T. Grant Company, one of the country's largest retail chains, filed a petition in voluntary bankruptcy, listing debts of more than $1 billion. The petition represented the second largest bankruptcy on record, exceeded only by that of the Penn Central Transportation Company, which listed liabilities of $3.3 billion when it collapsed in June, 1970. [New York Times] Officials close to an inquiry into alleged corruption in the grain export trade said two grain company executives had been partners in a private agency authorized by the Agriculture Department to inspect and grade the company's grain. The agency, the Delta Weighing and Inspection Bureau, Inc., is one of several under investigation in New Orleans, along with companies whose grain they inspect. [New York Times] A research group reported a severe shortage of firewood in most poor countries of the world, where 90 percent of the people depend on wood as fuel for cooking and heating. A researcher warned that the shortage, imposing hardships on about 1.3 billion people, could lead to "the most profound ecological challenge" of our time. [New York Times] The House International Relations Committee cleared the way for its formal approval tomorrow of the stationing of 200 American civilian technicians in the Sinai passes to help monitor the recent Egyptian-Israeli accord. [New York Times] The Occidental Petroleum Corporation said that the Libyan government was preventing 520 of its non-Libyan employees, including 230 Americans, from leaving Libya. The incident is the latest in a long dispute between the company and the Libyan government over petroleum policy and oil concession accords. The Libyans have also halted all oil shipments from Occidental's Libyan terminal. [New York Times]

Stock Market Report

Dow Jones Industrial Average: 794.55 (+10.39, +1.32%)
S&P Composite: 83.82 (+0.89, +1.07%)
Arms Index: 0.72

	Issues	Volume*
Advances	714	7.70
Declines	553	4.32
Unchanged	485	2.27
Total Volume		14.29

* in millions of shares

Arms Index is the ratio of volume per declining issue to volume per advancing issue; a figure below 1.0 is bullish.

Market Index Trends
Date	DJIA	S&P	Volume*
October 1, 1975	784.16	82.93	14.07
September 30, 1975	793.88	83.87	12.52
September 29, 1975	805.23	85.03	10.58
September 26, 1975	818.60	86.19	12.57
September 25, 1975	820.24	85.64	12.89
September 24, 1975	826.19	85.74	16.06
September 23, 1975	819.85	84.94	12.80
September 22, 1975	820.40	85.07	14.75
September 19, 1975	829.79	85.88	20.83
September 18, 1975	814.61	84.06	14.30