News stories from Tuesday January 2, 1979

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

Aid to cities with the highest jobless rates would be provided under a bill that President Carter will resubmit, White House aides disclosed. The new, unrestricted direct aid program is a scaled down version of a bill that Congress did not approve last fall. The new measure would channel $150 million to hardest pressed cities, the aides said. The original program would have provided $500 million. [New York Times] Interservice rivalries and political pressures are dismaying Defense Secretary Harold Brown, who said in an interview they were thwarting his efforts to save money and to improve efficiency in the Pentagon. He also said he was "disappointed" at the accelerating Soviet arms buildup, which he attributed to "bureaucratic inertia" and "a vague feeling that the more powerful you are militarily the more influence you have." [New York Times] A treasure ship has been found near a coral reef northeast of what is now the Dominican Republic. The galleon Concepcion, with a huge store of silver and gold, sank in 1641. She has been located by a team headed by Burt Webber, who lives modestly in Annville, Pa. A specialist termed the vessel "one of the major losses in the 17th century." Precious items have already been salvaged. [New York Times] The new Mayor of Washington was sworn in. He is Marion Barry, a 42-year-old former civil rights activist who was the first national chairman of the Student Nonviolent Coordinating Committee in 1960. His inauguration as Mayor of the District of Columbia gave him the highest establishment office ever won by a leader of the 1960's protest movements. [New York Times] Pennsylvania Republicans won a long dispute over control of the state House of Representatives when they elected a party member as Speaker. Representative Jack Seltzer was elected by a vote of 101 to 98 after nearly four hours of bitter debate and often confusing parliamentary maneuvers. [New York Times] The exodus of foreigners from Iran accelerated as Iranian troops sent extra forces to the Teheran airport to insure that departure was possible. With Iranian military air controllers replacing striking civilians, about 2,000 foreigners departed. Of the 38,000 Americans still in Iran, 5,000 are expected to leave this week. [New York Times] The World Council of Churches is sharply divided over granting funds to groups fighting for political causes. The outcome of the dispute is considered critical for the future course of the ecumenical body because it centers on its recent shift in resources and staff toward social action. [New York Times] Sectarian fighting in Turkey has left the people of Kahramanmaras grim and silent and the walls covered with political slogans. The latest flare-up between Sunni and Alevi Moslems killed more than 100 persons and wounded at least 1,000. [New York Times] China invited Senator Barry Goldwater, a staunch opponent of Washington's normalization of relations with Peking, to visit the Chinese capital and discuss the situation. A spokesman said that Mr. Goldwater had made no decision yet. Deputy Prime Minister Teng Hsiao-ping, who extended the invitation, also told visiting Congressmen that China sought a peaceful solution of the Taiwan issue. [New York Times] Plans for Spain's elections were mapped by the political parties after Prime Minister Adolfo Suarez dissolved Parliament in a gamble. Most polls put the Socialists ahead of Mr. Suarez's centrist grouping. [New York Times] South Korea's opposition leader, who has been freed on parole, has again criticized President Park Chung Hee in much the same way that led to the challenger's imprisonment 33 months ago. Kim Dae Jung went on the offensive by challenging the laws under which the President can appoint 33 percent of the National Assembly. [New York Times]

Stock Market Report

Dow Jones Industrial Average: 811.42 (+6.41, +0.80%)
S&P Composite: 96.73 (+0.62, +0.65%)
Arms Index: 0.96

	Issues	Volume*
Advances	1,017	10.86
Declines	466	4.79
Unchanged	360	2.69
Total Volume		18.34

* 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*
December 29, 1978	805.01	96.11	30.03
December 28, 1978	805.96	96.28	25.44
December 27, 1978	808.56	96.66	23.58
December 26, 1978	816.01	97.52	21.47
December 22, 1978	808.47	96.31	23.79
December 21, 1978	794.79	94.71	28.68
December 20, 1978	793.66	94.68	26.52
December 19, 1978	789.85	94.24	25.96
December 18, 1978	787.51	93.44	32.90
December 15, 1978	805.35	95.33	23.64