News stories from Wednesday October 27, 1976

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

A plan against spreading nuclear weapons is scheduled for announcement tomorrow by President Ford. It is based on a memorandum warning that the spread of facilities to extract plutonium from used reactor fuel even to responsible nations was undesirable, and its spread to unnamed "sensitive" countries was intolerable. Jimmy Carter and Democrats in Congress have made a political issue of their call for American action in this field. [New York Times] Jimmy Carter told a large and generally enthusiastic audience in Manhattan's garment district that New York City has a great life and a great future. He pledged he would "do everything I can for you when I'm elected." He said election day was a chance to affirm the principle that residents of the nation's large cities are Americans and should never he "beneath the concern of the President." [New York Times] President Ford sought to draw a distinction between his administration and that of President Nixon in campaign appearances in Chicago, New Jersey and Pennsylvania. Stressing personal integrity in his administration, Mr. Ford said that, on assuming office, he had led "an incredible comeback" from the "long national nightmare" of Watergate. [New York Times] Democratic leaders in California feel Carter will lose the state, despite polls showing the election a dead heat there. But recent Ford gains in the nation's largest state are not reflected in most other big states, and, as a result, California may not prove to be the bellwether it has been in the past. Ford has cut Carter's once-enormous lead in many other states, but not enough so far to win the election. [New York Times] New York State ballots will carry the name of Daniel Patrick Moynihan, the Democratic candidate for the United States Senate, on the line of the Liberal Party as well, but the name of Eugene McCarthy, independent candidate for President, will not appear. Both issues were decided by the state's highest court, the Court of Appeals. [New York Times] The Central States Pension Fund of the International Brotherhood of Teamsters lent money to associates of organized crime figures as recently as 1975, despite a new federal law, government controls and an impression from union officials that such practices have stopped. Various transactions, including one to a man who has been linked to Meyer Lansky, financial expert of organized crime, are under investigation by the Departments of Labor and Justice. A reputed Lansky associate stands to collect millions in Las Vegas from Caesar's Palace. [New York Times] Another car price increase is unwarranted, according to the federal government's Council on Wage and Price Stability. It found that auto manufacturing costs had risen less than some companies have announced and that the 7.7 percent cost increase projected by the companies for 1977 models appeared to be on the high side. [New York Times] General Motors set a record in third-quarter earnings with a record net income of $397 million, or $1.37 a share, on sales for the quarter of 1.79 million cars for $10.16 billion. Corporation officials predicted a sustainable upward course for the economy, depending on the outcome of contract talks with the United Automobile Workers. [New York Times] Stock prices continued their brisk advance. Dow industrials gained 7.98 points to close at the day's high of 956.12. Bond prices moved up in both the corporate and government sectors. [New York Times] South Korean political influence in Washington is under sweeping investigation focusing on the possible involvement of 90 members of Congress, and the inquiry could develop into a major expose of political corruption according to senior government sources. Although persons seeking re-election are involved, neither indictments nor statements clearing individuals are expected in the near future. [New York Times] The South Korean government has condoned collusive bidding among Korean contractors, costing the United States military units stationed there about $20 million a year, according to Army investigators. Their reports show that at least until 1973, the South Korean Central Intelligence Agency controlled all such bidding by South Korean concerns. The agency's control over bidding was ended but the Army found that the government still has a role in these practices. [New York Times] The Soviet Union announced that it hoped significantly to narrow the gap behind United States production by 1980 when the current five-year plan ends. Encouraged by a bumper harvest and recession in the West, the leadership outlined its goals in a speech by Deputy Prime Minister Nikolai Baibakov to the Supreme Soviet. A token reduction in the military budget was announced. [New York Times]

Stock Market Report

Dow Jones Industrial Average: 956.12 (+7.98, +0.84%)
S&P Composite: 101.76 (+0.70, +0.69%)
Arms Index: 0.81

	Issues	Volume*
Advances	853	8.90
Declines	543	4.60
Unchanged	466	2.29
Total Volume		15.79

* 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 26, 1976	948.14	101.06	15.49
October 25, 1976	938.00	100.07	13.31
October 22, 1976	938.75	99.96	17.87
October 21, 1976	944.90	100.77	17.98
October 20, 1976	954.87	101.74	15.86
October 19, 1976	949.97	101.45	16.20
October 18, 1976	946.56	101.47	15.71
October 15, 1976	937.00	100.88	16.21
October 14, 1976	935.92	100.85	18.61
October 13, 1976	948.30	102.12	21.69