News stories from Tuesday July 31, 1979

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

Power to ration gasoline advanced as the House reversed itself and voted 234 to 189 to give the President strong authority to draft a standby plan. The action followed vigorous lobbying by the White House and Democratic leaders, who hoped to complete congressional approval of the plan before a recess begins on Friday. [New York Times] The President expects unemployment to rise into 1980, as he fights to stay in office, Mr. Carter told a visitor. While agreeing with most economists that the economy is in a recession, he plans to focus on curbing inflation, which he regards as the most serious problem facing the nation economically -- and himself politically. [New York Times] President Carter was greeted tumultuously on a visit to the rural tourist town of Bardstown, Ky. He pledged that he would "not let anything erect barriers between your President" and the American people. [New York Times] Optimism over Mr. Carter's prospects of rebounding politically were expressed by House Speaker Tip O'Neill, but he warned that time to do so was growing short. The Massachusetts Democrat predicted that President Carter would be the party's presidential nominee next year and that Ronald Reagan would be the Republican nominee. [New York Times] Rep. Charles Diggs was censured by the House for padding his office payroll and making personal use of public funds. The Michigan Democrat was ordered to deliver a $40,000 promissory note to the Treasury to cover his misdeeds. The House voted 414 to 0 to approve the censure of Mr. Diggs, the senior black member of Congress, after a half-hour discussion during which no one defended him. [New York Times] Ted Bundy was sentenced to die in Florida's electric chair by a judge who called the 1978 slayings of two college sorority members "heinous, vicious" crimes. Appeal is automatic under Florida law. [New York Times] The proposed F.B.I. charter was unveiled by the Carter administration. The charter, the first for the bureau, would govern the agency and restrict but not prohibit such controversial investigative techniques as the use of informers, undercover agents and covert criminal activity. [New York Times] Higher costs threaten Amtrak improvements. The huge project to upgrade rail service between Boston and Washington could cost at least $300 million more than officials anticipated last January, when a $654 million increase in the original $1.75 billion authorization was sought. The report caused a Senate panel to postpone indefinitely a new authorization, according to government sources. [New York Times] A drop in House seats for New York was projected by the Census Bureau, which said that after the 1980 census the state would "probably" lose four seats, with three of them likely to be lost by New York City. A census report showed that the state's population declined by 2.7 percent from 1970 to 1978, which would cause it to lose more seats than any other state. [New York Times] Witnesses to Carmine Galante's death emerged for questioning after a 19-day disappearance, but the two reportedly said they had nothing to contribute to the inquiry into the slaying of the reputed underworld leader. The two men were said to have told detectives they could not identify the three ski-masked killers. [New York Times] Opposition to Richard Nixon's moving into an apartment he plans to buy in a Manhattan cooperative building has been expressed by some of the residents. They cited fears about potential threats to their security and privacy because of controversy over the former President. [New York Times] Conditional support for the arms treaty was expressed by former Secretary of State Henry Kissinger. He testified that the Senate should approve the pact with Moscow only if President Carter made a binding pledge to increase military spending. Mr. Kissinger also urged that the Senate vote periodically on whether any treaty talks under way should be continued and should attach several understandings to the pact. [New York Times] Ayatollah Khomeini was denounced by Shahpur Bakhtiar, a former Iranian Prime Minister, who accused him of leading the country into chaos and dictatorship. Mr. Bakhtiar, who disappeared on Feb. 12 when he was swept from power, told reporters in Paris that Iran's Moslem leaders were incapable of governing. [New York Times] Bringing Palestinians into peace talks is sought by Washington, according to administration officials. They said that the administration had indicated an interest in seeking a new formula for a U.N. resolution that might also eventually include the Palestine Liberation Organization in negotiations. [New York Times]

Stock Market Report

Dow Jones Industrial Average: 846.42 (+7.68, +0.92%)
S&P Composite: 103.81 (+0.66, +0.64%)
Arms Index: 0.84

	Issues	Volume*
Advances	998	21.17
Declines	480	8.52
Unchanged	418	4.67
Total Volume		34.36

* 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*
July 30, 1979	838.74	103.15	28.64
July 27, 1979	839.76	103.10	27.77
July 26, 1979	839.76	103.10	32.28
July 25, 1979	839.51	103.08	34.89
July 24, 1979	829.78	101.97	29.69
July 23, 1979	825.51	101.59	26.86
July 20, 1979	828.07	101.82	26.37
July 19, 1979	827.30	101.61	26.78
July 18, 1979	828.58	101.69	35.95
July 17, 1979	828.50	101.83	34.27