News stories from Monday January 18, 1971
Summaries of the stories the major media outlets considered to be of particular importance on this date:
- Bethlehem Steel stated that it would back down on its 12.5% price increase to match U.S Steel's 6.8% increase; President Nixon was not happy but accepted it. He met with construction industry leaders and asked for recommendations within 30 days for ways to halt the wage and price spiral. Secretary of Labor James Hodgson said that the President was not "jawboning" and not threatening construction leaders. [CBS]
- Banks dropped their lending rate from 6.25% to 6%. The Federal Reserve Board lowered the discount rate from 5.25% to 5%. [CBS]
- The gross national product was down 3.3% during the last quarter of 1970. [CBS]
- Chrysler and the United Auto Workers continued bargaining; a strike deadline is set for 10 a.m. tomorrow. [CBS]
- Senator George McGovern announced his candidacy for the Democratic presidential nomination. McGovern stated that America should admit the mistake of trying to settle Vietnamese affairs with force and announce an early withdrawal date.
Senator Edmund Muskie held a press conference although details of talks during his trip to Egypt, Israel, Russia and West Germany are confidential. Muskie is not sure that the U.S. should pull its forces out of NATO, and he made no comment on McGovern's announcement.
[CBS] - George Wallace was inaugurated as Alabama governor again. [CBS]
- South Vietnamese and Cambodian forces, supported by U.S. air strikes, tried to reopen Highway 4 in Cambodia. The State Department insists that the U.S. will not commit ground forces. [CBS]
- The trial of Lt. William Calley is recessed until the government gives Calley a psychiatric exam. A psychiatrist for the defense appraised Calley and said that he is sane, but incapable of disobeying orders. The prosecution requested that Calley be evaluated by a military sanity board. [CBS]
- The State Department is suspending military sales to Ecuador as a result of Ecuador's seizure of eight U.S. tuna boats. Ecuador claims a 200-mile fishing limit; the U.S. claims a 12-mile limit. [CBS]
- The collision of two ships has caused a threat to the natural surroundings of San Francisco Bay. Two Standard Oil tankers collided under the Golden Gate Bridge, spilling up to two million gallons of oil into the water, some of which washing up on shore. Wildlife is endangered by the spill. [CBS]
- U.S. Steel agreed to end within five years the dumping of industrial wastes into a river which leads into Lake Michigan. [CBS]
- Shipyard workers in Gdansk, Poland, staged a six-hour strike to demand political and economic improvements. The strike ended when permission was granted to send a grievance delegation to Warsaw. [CBS]
- Secretary General U Thant announced that he does not intend to continue with the United Nations beyond December. [CBS]
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Stock Market Report
Dow Jones Industrial Average: 847.82 (+2.12, +0.25%)
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* |
| January 15, 1971 | 845.70 | 93.03 | 18.01 |
| January 14, 1971 | 843.31 | 92.80 | 17.60 |
| January 13, 1971 | 841.11 | 92.56 | 19.07 |
| January 12, 1971 | 844.19 | 92.72 | 17.82 |
| January 11, 1971 | 837.21 | 91.98 | 14.72 |
| January 8, 1971 | 837.01 | 92.19 | 14.10 |
| January 7, 1971 | 837.83 | 92.38 | 16.46 |
| January 6, 1971 | 837.97 | 92.35 | 16.96 |
| January 5, 1971 | 835.77 | 91.80 | 12.60 |
| January 4, 1971 | 830.57 | 91.15 | 10.01 |