News stories from Monday March 20, 1978

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

Prime Minister Menachem Begin arrived in Washington, accompanied by Foreign Minister Moshe Dayan, for talks with President Carter. Neither he nor Mr. Dayan made any comment about the United Nations Security Council resolution calling for Israel's withdrawal from southern Lebanon. But other Israeli officials in Washington and New York made no secret of their unhappiness with the way the United States pushed the resolution through the Council. They were annoyed that Mr. Begin had not had an opportunity to present his proposals to President Carter first. [New York Times] The miners will approve, when they vote Friday, the contract offered in place of the one they rejected overwhelmingly on March 5, according to an increasing number of local union officials who have been explaining the terms of the new contract to members of the union. The miners, nevertheless, are said to still have serious misgivings about the contract. [New York Times] Restoration of the death penalty in New York state was approved after a long and emotional debate in the Assembly. The 94 to 51 vote did not -- as happened in the Senate last week -- provide the two-thirds margin necessary to override Governor Carey's expected veto. Capital punishment could still become law over the Governor's veto, the bill's foes concede. [New York Times] Two officials of the international Telephone and Telegraph Corporation were charged by the Justice Department with a total of 12 felony offenses, all arising from their testimony to a Senate subcommittee about the company's involvement in the 1970 presidential election in Chile. Edward Gerrity of Larchmont, N.Y., and Robert Berrellez of Chatsworth, Calif., were charged with perjury, obstruction of governmental proceedings and making false statements in a government matter. I.T.T. said it was confident they "will be cleared." The Justice Department indicated that it did not intend to bring criminal charges against Harold Geneen, I.T.T.'s chairman. [New York Times] Wage and price controls may be near if the government does not effectively curb inflation now, the Joint Economic Committee of Congress warned in its annual report on the economy. Both Democratic and Republican members of the committee agreed that moderation of the Social Security tax increases was one way the government could fight inflation. [New York Times] Strong institutional buying enabled the stock market to extend its recent gains. The Dow Jones industrial average gained 5.11 points and closed at 773.82. Institutions increased their purchases, especially of some of the depressed issues, to dress up their portfolios before the end of the first quarter. [New York Times] A center-right coalition was the big winner in the French elections, resulting in an increase in the value of the franc and heavy buying on the stock market. [CBS] An Asia-based British bank announced it was holding exploratory talks with Marine Midland Banks Inc. about buying a "significant equity position" in the Buffalo-based bank holding company. The announcement by the Hong Kong and Shanghai Banking Corporation surprised Wall Street. The companies said that any acquisition would be made primarily through newly issued securities. [New York Times] A homosexual may not be denied admission to the Florida state bar because of sexual preference, the Florida Supreme Court ruled in a 6 to 1 decision, which is believed to be the first of its kind affecting lawyers in this country. The court said that acknowledgement of homosexual preference was not in itself a failure to meet the "good moral character" standard of admission to the state's bar. The court ruled in the case of a California lawyer, who, in an interview for admission to the Florida bar, admitted that he was homosexual. [New York Times] Israel "did not reject" the United Nations Security Council resolution calling for its withdrawal from southern Lebanon, a Foreign Ministry spokesman said, adding: "We did not announce acceptance of it because there are many details to clarify." Israeli forces, meanwhile, have taken most of southern Lebanon up to the Litani River, and were refraining from the seizure of the port city of Tyre. [New York Times] Pandemonium broke out and disrupted the trial of the 15 leaders of Italy's terrorist Red Brigades when they began shouting threats against former Prime Minister Aldo Moro, who has been kidnapped by other members of the group. "Moro is in the hands of the armed proletariat!" the terrorists shouted in the courtroom, "And Moro will be tried! He will be brought to justice by the people!" The trial has been postponed twice because of the unwillingness of prospective jurors and defense lawyers to serve, so great is the fear in Italy of the terrorist group. [New York Times] The familiar populist fight against economic exploitation by "vested interests" has been taken up by a number of Southern politicians who are adding a strong stand against racism to the populist tenets. Tom Turnipseed, the Democratic candidate for governor of South Carolina, where he is a state Senator, has embraced populism and reversed himself on the racial issue. A friend, confidant and campaign manager for George Wallace in his campaigns for the presidency, Mr. Turnipseed is now an ardent advocate of "populism without racism." [New York Times]

Stock Market Report

Dow Jones Industrial Average: 773.82 (+5.11, +0.66%)
S&P Composite: 90.82 (+0.62, +0.69%)
Arms Index: 0.74

	Issues	Volume*
Advances	1,014	18.00
Declines	472	6.18
Unchanged	387	4.18
Total Volume		28.36

* 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 17, 1978	768.71	90.20	28.47
March 16, 1978	762.82	89.51	25.41
March 15, 1978	758.58	89.12	23.33
March 14, 1978	762.56	89.35	24.30
March 13, 1978	759.96	88.95	24.07
March 10, 1978	758.58	88.88	27.09
March 9, 1978	750.00	87.89	21.82
March 8, 1978	750.87	87.84	22.04
March 7, 1978	746.79	87.36	19.90
March 6, 1978	742.72	86.90	17.23