News stories from Wednesday March 8, 1978

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

The miners' union bitterly denounced the Carter administration's use of the Taft-Hartley Act's compulsory back-to-work procedure and spokesmen for the coal industry "regretted" it. However, a federal court injunction ordering the 160,000 striking miners to return to work became more a certainty, perhaps by tomorrow afternoon, as a board of inquiry completed closed hearings on the dispute. [New York Times] To conserve coal, businesses in areas of West Virginia began turning down lights and thermostats and trimming work schedules to comply with the state's newly-imposed emergency plan to reduce power consumption 30 percent. Some businesses have devised energy plans to prevent possible job losses from the cutback. Maryland also ordered a 30 percent cut for industrial users of power from one of two utilities affected in West Virginia. [New York Times] Prices of imported consumer goods, particularly from major American trading partners such as Japan and West Germany, which have been rising steadily, will rise even more over the next six months because of the dwindling value of the dollar, economists and import executives say. The price spiral is hurting consumers, confusing traders and sending inflationary ripples throughout the United States economy. [New York Times] The price of gold jumped nearly $4 an ounce in active trading on European markets, reaching $190 an ounce in London and Zurich. The continuing rise reflected the turmoil on world currency markets caused largely by the weakness of the dollar. In foreign exchange markets the dollar finished slightly stronger against most European currencies as central banks moved in to support the American currency. [New York Times] Stock prices improved in late trading, paced by rises in gold and silver issues. Transportation and utility stocks joined in the advance. The Dow Jones industrial average rose 4.08 points to close at 750.87. [New York Times] President Carter should state his terms for breaking the diplomatic stalemate in the Middle East, President Anwar Sadat said in an interview at his home beside the Nile. The Egyptian leader, appearing apprehensive about next week's meeting in Washington between Mr. Carter and Prime Minister Menachem Begin of Israel, said the "time has come" for the United States to "risk" its responsibility as a "partner and not a mediator" in the negotiations. Mr. Sadat suggested that Mr. Carter apply his espousal of human rights, non-acquisition of land by force and mutual security. [New York Times] Israel's credibility is being damaged and peace talks are being impeded by Prime Minister Begin's interpretation of a United Nations resolution that calls for Israeli withdrawal from occupied Arab lands, Yigal Allon, a former Foreign Minister, charged in the Israeli Parliament. Mr. Allon called for a full debate on Mr. Begin's controversial views, but the appeal was rejected along partisan lines. [New York Times] A railroad is being built by the Russians north of the famous Trans-Siberian line to unlock some of the world's richest deposits of minerals and timber. The new 2,000-mile railroad to the Pacific has seven mountain ridges to tunnel through and will require 3,700 bridges and culverts, 200 stations and sidings (including 64 urban settlements) and a billion cubic feet of earth-moving. The project illustrates the great power of the Soviet economy and political system in a mammoth task that will not produce major returns for at least a decade. [New York Times] A Ghanaian has been chosen by Secretary General Kurt Waldheim for the second highest post in the United Nations, Director General for Economic Development. Diplomats said Mr. Waldheim had selected Kenneth Dadzie, a diplomat and economist, from candidates from third world countries for the $99,350 a year post, which was created last December by the General Assembly. The Assembly left the choice to Mr. Waldheim in consultation with member nations. [New York Times] Eight months of debate ended in Belgrade with the conference on European security and cooperation adopting a summary document that made no mention of human rights or other major issues that divide East and West. Delegates from the United States, Canada, 32 European countries and the Vatican agreed to meet in Madrid in November 1980 to resume a review of how well they have carried out the 1975 agreements on East-West cooperation, including the free movement of people and ideas. [New York Times]

Stock Market Report

Dow Jones Industrial Average: 750.87 (+4.08, +0.55%)
S&P Composite: 87.84 (+0.48, +0.55%)
Arms Index: 0.73

	Issues	Volume*
Advances	890	12.62
Declines	454	4.68
Unchanged	505	4.73
Total Volume		22.03

* 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*
March 7, 1978	746.79	87.36	19.90
March 6, 1978	742.72	86.90	17.23
March 3, 1978	747.31	87.45	20.12
March 2, 1978	746.45	87.32	20.29
March 1, 1978	743.33	87.19	21.01
February 28, 1978	742.12	87.04	19.75
February 27, 1978	748.35	87.72	20.00
February 24, 1978	756.24	88.49	22.51
February 23, 1978	750.95	87.64	18.73
February 22, 1978	749.05	87.56	18.45