News stories from Monday June 1, 1981

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

President Reagan stood firm on taxes, pledging to make no further compromise on his proposed cuts at a White House meeting that split Democratic congressional leaders on whether to continue negotiations or prepare for an all-out fight. Mr. Reagan was quoted as saying he would delay the starting date for cuts from Jan. 1 to Oct. 1 of this year and that he would settle for a 5 percent cut in the first year and 10 percent in the next two years. [New York Times] Blacks would suffer disproportionately under President Reagan's budget cutting plan. Fewer than 12 percent of Americans are black, but blacks make up a third of those who receive food stamps or Medicaid or live in public housing and nearly half of those getting aid for dependent children. [New York Times] A curb on some free legal aid was upheld by the Supreme Court. By a vote of 5 to 4, the Court ruled that indigent parents do not have an automatic constitutional right to such counsel in a court proceeding on terminating their legal ties with their children. [New York Times] An inquiry about an Air Force officer accused of making unauthorized visits to the Soviet Embassy was broadened. Justice Department officials had maintained that the allegations against a lieutenant over breaking Air Force regulations was a military matter, but, at the insistence of Defense Secretary Caspar Weinberger, the department has begun an investigation to determine whether the lieutenant violated espionage laws. [New York Times] A former hostage was rebuffed by the Army. It denied Staff Sgt. Joseph Subic a medal for his performance in Iran. While in captivity, he appeared in a film, which American television networks declined to broadcast, criticizing Washington's role in Iran. [New York Times] Ex-Representative Carl Vinson died in his hometown of Milledgeville, Ga., at the age of 97. For 14 of his 50 years in the House, the tall, courtly Georgian virtually ran the Pentagon from his chair presiding over the House Armed Services Committee. [New York Times] A free-speech shield for entertainment was upheld by the Supreme Court, which ruled that communities that permit commercial activity may not use zoning powers to exclude live entertainment. Voting 7 to 2, the Court reversed the convictions of two owners of an "adult" bookstore who were fined $300 for exhibiting a nude dancer in a glass booth in their shop. While the bookstore was licensed to show films of nude dancers, a zoning ordinance banned live entertainment. [New York Times] A reappraisal of cancer research aid is underway in Congress for the first time in the 10 years since the government began pouring billions of dollars into the National Cancer Institute. The legislators are beginning to raise questions about what the money has achieved and whether it has been properly spent. A three-month staff investigation of the institute is to be discussed tomorrow at a Senate hearing. [New York Times] The end of a revolt in Bangladesh was confirmed 48 hours after the attempted coup had begun. Gen. Manzur Ahmed, who initiated the army rebellion with the assassination of President Ziaur Rahman, was arrested, and government troops regained control of the only area that had been held by the rebels. [New York Times] The Saudis will lead peace efforts in the crisis between Syria and Israel over the presence of Syrian missiles in Lebanon. Reagan administration officials said that Saudi Arabia had agreed to increase its diplomatic role after Syria refused to accept any proposals that seemed to have originated in Israel or the United States. [New York Times] Beirut underwent barrages of artillery fire from dawn to dusk. The firing by Lebanese army forces, Syrian forces and Christian militias forced residents to huddle in underground shelters. Since the strife intensified in April, more than 750 people have been killed in the city, the overwhelming majority of them civilians. [New York Times]

Stock Market Report

Dow Jones Industrial Average: 997.96 (+6.21, +0.63%)
S&P Composite: 132.41 (-0.18, -0.14%)
Arms Index: 1.12

	Issues	Volume*
Advances	927	30.53
Declines	689	25.34
Unchanged	332	6.30
Total Volume		62.17

* 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 29, 1981	991.75	132.59	51.58
May 28, 1981	994.25	133.45	59.50
May 27, 1981	993.14	133.77	58.73
May 26, 1981	983.96	132.77	42.76
May 22, 1981	971.72	131.33	40.70
May 21, 1981	976.59	131.75	46.79
May 20, 1981	976.86	132.00	42.37
May 19, 1981	980.01	132.09	42.21
May 18, 1981	985.77	132.54	42.51
May 15, 1981	985.95	132.17	45.46