News stories from Wednesday May 23, 1979

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

Bert Lance was indicted by a federal grand jury in Atlanta on charges of conspiring to file false statements, mislead government regulatory agencies and misapply bank funds to obtain $20 million in loans for himself and three business associates from at least 41 banks from 1970 to 1978. In a 33-count indictment, the panel also charged that President Carter's friend and the three associates had continued the conspiracy after the former Georgia banker became director of the Office of Management and Budget. [New York Times] Price decontrol of domestic oil would lead to less conservation and production than the administration has projected and would give even bigger profits to oil companies than had been forecast under President Carter's plan, the Congressional Budget Office asserted in a report. Meanwhile, House Democrats rejected a proposed decontrol compromise and Mr. Carter again scolded Congress and the American public on the energy issue. [New York Times] Gasoline shortages will hamper motorists in New York City and the nation this Memorial Day weekend, with most service stations closed, purchases rationed and many stations with no supplies of unleaded fuel. Motorists were urged to curtail long-distance driving as most gasoline dealers planned to be closed on Monday. [New York Times] A proposed budget was defeated in the House by liberal Democrats angered by planned cuts in educational and social programs. They forced the Senate to increase spending authority for domestic programs. The House will consider the new compromise tomorrow and it may be approved with the aid of enough moderates. [New York Times] A modified welfare-revision plan was sent to Congress by President Carter. The package is designed to raise and broaden benefits in some states, ease welfare costs in other states and create more than 400,000 jobs. Its prospects are considered doubtful. [New York Times] A virus has been linked to diabetes in a fatal case and under circumstances that make it nearly certain that the virus caused the disease. The case provides strong evidence that virus infection is among the causes of the most severe form of diabetes, which often develops in childhood. [New York Times] Declassification of nuclear bomb data, which made it available to the public for nearly four years, was deplored by a nuclear physicist in testimony before a Senate panel. He said that the information in the document could enable any country that had access to highly enriched uranium or plutonium to build a hydrogen bomb. [New York Times] Three Cezanne works were recovered by the Art Institute of Chicago. The paintings, valued by experts at more than $3 million, were stolen from the museum late last year. A former employee of the museum was arrested after he allegedly tried to collect a $250,000 ransom for them. [New York Times] Stays of execution were won by a convicted murderer. But Florida's Attorney General vowed to see that the inmate was electrocuted before his death warrant expires on Friday. [New York Times] Canada's Progressive Conservative victory in Tuesday's elections gave the party a precarious hold on Parliament with 136 seats, six short of a majority. Joe Clark was preparing to form a new government. Prime Minister Trudeau will formally end 11 years of Liberal Party rule when he resigns, probably on Friday.Cautious policies in Canada are expected of the new minority government. Its leader has vowed to use tax cuts and other incentives to stimulate the economy. He has also proposed financial incentives to encourage energy conservation and a concerted drive to make Canada self-sufficient in energy by 1990. [New York Times] Three Israelis were killed and 13 were wounded as a bomb exploded at a crowded bus stop in a town near Jerusalem. Hours later. Israeli planes swept over Lebanon in retaliatory attacks on Palestinian-inhabited areas, and official sources in Beirut reported the casualties as five dead and 21 wounded. [New York Times] A former Nazi was elected President of West Germany. The vote by an electoral college divided the country over the suitability of Karl Carstens, the 64-year-old Christian Democratic Speaker of the lower house of Parliament, to be chief of state. Demonstrators on the streets of Bonn and other cities chanted slogans deriding his past. [New York Times] Requests for U-2 flights over Turkey to monitor Soviet missile tests have angered Prime Minister Bulent Ecevit, who is insisting on first gaining Moscow's approval, according to high Turkish officials. American diplomats said the Russians might give tacit consent to win Senate approval of the new arms limitation accord, but doubted Moscow's formal consent. [New York Times]

Stock Market Report

Dow Jones Industrial Average: 837.40 (-7.97, -0.94%)
S&P Composite: 99.89 (-0.62, -0.62%)
Arms Index: 1.16

	Issues	Volume*
Advances	718	12.15
Declines	734	14.35
Unchanged	429	3.89
Total Volume		30.39

* 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*
May 22, 1979	845.37	100.51	30.31
May 21, 1979	842.43	100.14	25.55
May 18, 1979	841.91	99.93	26.59
May 17, 1979	842.95	99.94	30.55
May 16, 1979	828.48	98.42	28.35
May 15, 1979	825.88	98.14	26.19
May 14, 1979	825.02	98.06	22.46
May 11, 1979	830.56	98.52	24.01
May 10, 1979	828.92	98.52	25.23
May 9, 1979	838.62	99.46	27.67