News stories from Thursday November 5, 1981

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

The race for Governor of New Jersey remained in doubt. Aides to the two major party candidates prepared for a probable recount and exchanged bitter accusations. The latest unofficial count, based on a canvass of county clerks, showed Thomas Kean, the Republican, leading Representative James Florio, the Democrat, by only 1,726 votes. [New York Times] Sugar consumer prices would rise at least 2 cents a pound this year under a resumption of the federal support program approved by a House-Senate conference. The House narrowly defeated the sugar loans last month, but the House conferees, led by Southerners, voted overwhelmingly to accept the Senate provision. [New York Times] Unfair subsidies for steel exports have been granted by foreign governments, according to the Reagan administration, which said the government would contest the issue directly for the first time. The plan increases the dangers of a trade war. [New York Times] A shift on abortion legislation by the National Conference of Catholic Bishops was suggested as it endorsed a constitutional amendment that would empower Congress and each state to adopt laws regulating and banning abortion. In the past, the bishops have favored an outright ban on abortion, but have not taken a position on specific legislation. They believe that sweeping anti-abortion measures could not pass Congress now. [New York Times] Minnesota faces a budget deficit of $600 million to $700 million, partly resulting from overoptimistic projections of the nation's economy. The state is now too poor to make scheduled aid payments to its 855 cities this month, and next month's payments may also be in jeopardy. [New York Times] Differences on NATO war planning in the Reagan administration were indicated in Senate testimony by Defense Secretary Caspar Weinberger. He said that NATO did not have a plan to use a nuclear explosion as a warning to Moscow in the event of a war in Europe, as Secretary of State Alexander Haig had testified. [New York Times] The close Nixon-Haig friendship offers a glimpse of how the political "buddy system" works in Washington. The former President and Secretary of State Haig often confer by telephone and often see each other when Mr. Haig is in New York, and Mr. Nixon often gives the Secretary advice on foreign policy. [New York Times] El Salvador needs more U.S. aid to fight leftist insurgents, according to Secretary of State Haig. In an interview, he also indicated that the administration was considering military measures against Nicaragua and Cuba in efforts to curb the arms flow to the Salvadoran rebels. [New York Times] A direct effort to halt infighting over the administration's foreign policy making was made by President Reagan. At a closed meeting in the Oval Office, he ordered Secretary of State Haig and Richard Allen, the White House national security adviser, to stop feuding. [New York Times] The Soviet submarine stranded in Swedish waters for 10 days apparently carries nuclear torpedo warheads, Sweden announced. Investigators detected Uranium 235 by using sensing devices outside the hull of the vessel. Still, the Swedes said the submarine and its crew of 56 could leave "as soon as weather permits." [New York Times] The United States protested to Britain about recent statements made by its Foreign Secretary, Lord Carrington, endorsing Saudi Arabia's Middle East peace plan. His remarks have prompted a threat in Israel not to accept European participation in the Sinai peacekeeping force. [New York Times] The Princess of Wales expects a baby in June, Buckingham Palace announced. The former Lady Diana Spencer, who was married to Prince Charles on July 29, emerged from the semi-seclusion of a three month honeymoon last month. [New York Times] A constitutional accord in Canada was reached by the federal government and the nine English-speaking provinces against the opposition of Quebec. The majority achieved a compromise that would allow Canada to gain control of its constitution from Britain and become fully independent after years of debate. [New York Times]

Stock Market Report

Dow Jones Industrial Average: 859.11 (-7.71, -0.89%)
S&P Composite: 123.54 (-1.20, -0.96%)
Arms Index: 1.50

	Issues	Volume*
Advances	676	15.86
Declines	821	28.92
Unchanged	413	6.08
Total Volume		50.86

* 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*
November 4, 1981	866.82	124.74	53.47
November 3, 1981	868.72	124.80	54.62
November 2, 1981	866.82	124.20	65.12
October 30, 1981	852.55	121.89	58.56
October 29, 1981	832.95	119.06	40.07
October 28, 1981	837.61	119.45	48.10
October 27, 1981	838.38	119.29	53.03
October 26, 1981	830.96	118.16	38.20
October 23, 1981	837.99	118.60	41.98
October 22, 1981	848.27	119.64	40.63