News stories from Tuesday August 3, 1976

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

Pennsylvania and federal epidemiologists intensified their search for a virus believed to be the cause of the mysterious flu-like disease afflicting many who attended an American Legion convention in Philadelphia. The death toll rose to 20, with another 115 hospitalized, some in serious condition. Laboratory tests to be completed in two days may provide an answer. Pennsylvania's Health Secretary said there was no evidence of further spread of the disease. [New York Times] Rogers C. B. Morton, President Ford's campaign manager, conceded that neither he nor his challenger, Ronald Reagan, would be able to "lock up" the Republican presidential nomination before the convention. This retreat was underscored by the latest findings of a New York Times canvass indicating a softening of Reagan support in the South and of Ford support in the Northeast since the choice of Senator Richard Schweiker of Pennsylvania as the Reagan running mate. Nationally, the number of uncommitted delegates has been creeping upward. [New York Times] President Ford asked Congress for new legislation requiring United States businesses to report all substantial payments in foreign countries designed to aid sales to foreign governments, whether "proper or improper." The reports would include names of recipients and could be disclosed to foreign governments. In most cases they would be made public after a year. [New York Times] Those who took control of Howard Hughes' huge fortune on his death are meeting in Las Vegas to try to untangle the golden threads of his empire. They must deal with problems including an indictment of the late industrialist and one of his top aides for market manipulation, the drain of paying for some of his whims and an inheritance tax bill that could take three quarters of the estate. [New York Times] The Federal Trade Commission and Justice Department approved an antitrust investigation of the nation's automobile makers. The General Motors Corporation, controlling more than half the domestic market, was thought to be the prime target. Its chairman, Thomas Murphy, said be expected to be able to show that the industry was competitive and within the law. [New York Times] The Red Cross brought 99 wounded civilians, the first of more than a thousand, from the besieged Palestinian camp at Tell Zaatar to Moslem-controlled west Beirut, touching off an explosion of joy. The evacuees told of a water shortage for a month and no medicine except salt. The cease-fire to bring the convoy across the lines did not extend to other fronts in Beirut and the mountains. [New York Times] The Peruvian government, in power since 1968 as a revolutionary experiment, appears to be coming apart. The government is under pressure from a consortium of United States private banks that are making strict economic and political demands in exchange for loans to cope with huge foreign debts. As the fortunes of the leftist military regime have declined, its dependence on Western financial institutions has become increasingly clear. [New York Times] The United States is selling the Chinese Nationalist government on Taiwan arms, including an advanced air defense system intended to enable the island to defend itself against an attack from mainland China without American participation. Some Washington experts feel this may help account for indications that Peking is hardening its position on reunification in the belief that only military force can accomplish it. [New York Times]

Stock Market Report

Dow Jones Industrial Average: 990.33 (+8.07, +0.82%)
S&P Composite: 104.14 (+0.95, +0.92%)
Arms Index: 0.51

	Issues	Volume*
Advances	996	13.33
Declines	444	3.04
Unchanged	393	2.13
Total Volume		18.50

* 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*
August 2, 1976	982.26	103.19	13.87
July 30, 1976	984.64	103.44	14.83
July 29, 1976	979.29	102.93	13.33
July 28, 1976	981.33	103.05	16.00
July 27, 1976	984.13	103.48	15.58
July 26, 1976	991.51	104.07	13.53
July 23, 1976	990.91	104.06	15.87
July 22, 1976	991.08	103.93	15.60
July 21, 1976	989.44	103.82	18.35
July 20, 1976	988.29	103.72	18.61