News stories from Thursday September 4, 1980

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

The House pressed fiscal restraint in a bipartisan effort as it approved overwhelmingly a package of $9.1 billion in budget cuts and revenue increases. The action involved "reconciliation," a new mechanism for curtailing programs that enjoy strong constituencies and could not be curtailed by piecemeal legislation without rousing criticism of members of Congress. The Senate has unanimously passed a similar package, and a House-Senate conference will reconcile the differences. [New York Times] John Anderson's campaign was buoyed as the Federal Election Commission ruled the independent presidential candidate eligible for retroactive federal financing if he receives at least 5 percent of the popular vote in the Nov. 4 election. His campaign may now borrow against such funds, which his strategists view as critical to mounting a competitive television advertising campaign. [New York Times] A possible setback for the President in New York state was reported by high sources in the Liberal Party. They said the party was preparing to endorse John Anderson for President. It would be the first time in the party's 36-year history that it has not endorsed the Democratic candidate and could siphon enough votes to cost Mr. Carter New York.Anderson seems to be damaging President Carter by splintering traditionally Democratic constituencies in New York, according to the latest New York Times poll. It found Representative Anderson drawing significant support in New York City and its suburbs and especially among Jewish voters, with the President and Ronald Reagan in a close contest for the state's 41 electoral votes. [New York Times] The A.F.L.-C.I.O. endorsed Mr. Carter for re-election and said Ronald Reagan was unfit to be President. The President sought to reassure Jews, pledging at a B'nai B'rith convention his continuing "commitment to a secure Israel."Reagan charged the President with "a cynical misuse of power and a clear abuse of the public trust" in the Carter administration's disclosure of secret research to develop aircraft that can evade radar detection. [New York Times] New evidence on Billy Carter was received by a Senate inquiry. The circumstantial evidence suggested that a White House official might have tipped off the President's brother in June that the Justice Department was intensifying its investigation of his dealings with Libya. It also became known that Zbigniew Brzezinski, the President's national security adviser, was under investigation for possible violation of the espionage laws by disclosing to Billy Carter last March information about his dealings with Libya that Mr. Brzezinski had received from an intelligence source. [New York Times] A sharp increase in television stations across the country is considered likely to result from a plan expected to be approved next Tuesday by the Federal Communications Commission. Commission sources said that the agency was expected to act favorably on a staff proposal to permit the creation of low-power stations with limited reach to provide specialized programming to parts of a community. [New York Times] A drought emptied the campus of the University of Massachusetts at Amherst. The town's water supply unexpectedly ran so low that the students were given six hours to pack their belongings and leave. This summer was the driest on record and one of the hottest in the New York City metropolitan region, the National Weather Service confirmed. Reservoir levels are markedly down and two reservoirs, in Bergen and Rockland Counties, have dried up. [New York Times] Major gains in hydroelectric power were cited in a study by the Army Corps of Engineers of 12,000 possible hydropower sites in New York and New England. The study concluded that full development of all the sites would triple the region's supply of electricity produced from water power and save up to 40 million barrels of oil a year. [New York Times] A major military signup was reported by the director of Selective Service. He said that 87 percent of the young men subject to military registration in July had signed up on time and that 6 percent more had registered later. An anti-draft leader contended that many of the registrants had given false names and addresses. [New York Times] Poland sought to ease concern in the Soviet bloc about liberal concessions to workers. In an article published in all Polish newspapers, the official who negotiated the strike settlement reasserted Warsaw's loyalty to the Soviet Union and other Warsaw Pact countries.A major scandal in Poland's leadership has been disclosed as a result of the recent labor unrest. The storm centers on Maciej Szczepanski, who has been dismissed as chief of broadcasting. A close friend of Edward Gierek, the Communist Party leader, Mr. Szczepanski is under investigation by two leading panels on sweeping charges of embezzlement, corruption and moral depravity. [New York Times]

Stock Market Report

Dow Jones Industrial Average: 948.81 (-4.35, -0.46%)
S&P Composite: 125.42 (-0.24, -0.19%)
Arms Index: 1.53

	Issues	Volume*
Advances	795	20.87
Declines	784	31.46
Unchanged	348	6.70
Total Volume		59.03

* 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*
September 3, 1980	953.16	125.66	52.35
September 2, 1980	940.78	123.74	35.30
August 29, 1980	932.59	122.38	33.50
August 28, 1980	930.38	122.08	39.89
August 27, 1980	943.09	123.52	43.97
August 26, 1980	953.41	124.84	41.70
August 25, 1980	956.23	125.16	35.39
August 22, 1980	958.19	126.02	58.21
August 21, 1980	955.03	125.46	50.77
August 20, 1980	945.31	123.77	42.56