News stories from Wednesday July 22, 1981

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

Mehmet Ali Agca was sentenced to life imprisonment for trying to kill Pope John Paul II and two American women in St. Peter's Square on May 13. The court ruled that the Turkish terrorist must spend the first year in solitary confinement. [New York Times] The economy weakened in the second quarter, declining at an annual rate of 1.9 percent, the government reported. The drop, a result of high interest rates, was accompanied by a marked abatement in inflation. The figures are subject to revision but many analysts believe they heighten the possibility that the nation could be headed into another recession, technically defined as two consecutive quarters of declining overall activity. [New York Times] Chrysler reported its first profit in more than two years. The auto maker, which was on the edge of bankruptcy a little more than a year ago, said it earned $12 million in the second quarter. But some financial analysts contended that at least part of the profit had been contrived by the company and that its long-term viability remains in doubt. [New York Times] Psychiatrists say John W. Hinckley is not only competent to stand trial for the shooting of President Reagan but was probably sane at the time of the March 30 shooting, according to sources familiar with the government doctors' examination. [New York Times] A Philadelphia election upset stunned local Democratic leaders. A Democrat running in a congressional district where Democrats outnumber Republicans by 4 to 1 was defeated Tuesday by a dissident Democrat seeking a House seat as an independent with Republican backing. Mayor William Green assumed part of the blame, acknowledging: "Sometimes I think I seem terribly aloof." [New York Times] Concern over endangered species prompted the Environmental Defense Fund, a leading conservationist group, to serve notice that it will sue Interior Secretary James Watt to force him to resume the listing of animals and plants threatened with extinction. The process has virtually halted since the Reagan administration took office six months ago. [New York Times] Differences over key Air Force plans were brought to light by Verne Orr, the Air Force Secretary. He asserted that the Stealth aircraft, which Defense Secretary Caspar Weinberger is seriously considering as the nation's next long-range bomber, is "a paper airplane" that is far from development, and he expressed skepticism that the MX nuclear missile could be carried aboard planes instead of being based on land. [New York Times] An advance in treating diabetes was reported by researchers at the University of Florida's College of Medicine. They said that a study showed that examination of the hands of childhood diabetics enabled doctors to predict which victims were most likely to develop eye and kidney disorders, the most dangerous complications of their ailment. [New York Times] Child custody disputes are increasing across the nation and are engendering bitter court fights and legislative debates. A major issue is over the right of parents to rear a child as they see fit against the vaguely defined rights of children who are often seeking emancipation. [New York Times] Britain rejected objections by Spain, saying that Prince Charles and Lady Diana Spencer would proceed with a plan to begin their honeymoon cruise at Gibraltar. The British enclave is claimed by Spain, and King Juan Carlos and Queen Sofia have canceled plans to attend the wedding as a protest against the stopover. [New York Times] The United States criticized Israel because of the Israeli air strikes in Lebanon. Two top Reagan administration officials suggested that the policies of Prime Minister Menachem Begin had set back American efforts to obtain a cease-fire and had made it more difficult to resume deliveries of F-16 jets to Israel. [New York Times] Israeli jets made four raids on two makeshift bridges on the coastal road between Beirut and Tyre. At least 50 people were reported killed. Farther north, at least 18 people were reported killed and an oil pipeline was set afire in two Israeli strikes. [New York Times] Bitter fighting in Afghanistan was reported by Western diplomats in New Delhi. They said that a three-day battle around a Kabul suburb had involved some of the fiercest and costliest fighting near the Afghan capital since the intervention of Soviet troops in December 1979. [New York Times]

Stock Market Report

Dow Jones Industrial Average: 924.66 (-9.80, -1.05%)
S&P Composite: 127.13 (-1.21, -0.94%)
Arms Index: 1.69

	Issues	Volume*
Advances	498	10.15
Declines	951	32.68
Unchanged	433	4.67
Total Volume		47.50

* 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 21, 1981	934.46	128.34	47.26
July 20, 1981	940.54	128.72	40.24
July 17, 1981	959.90	130.76	42.78
July 16, 1981	955.48	130.34	39.01
July 15, 1981	954.15	130.23	48.95
July 14, 1981	948.25	129.65	45.23
July 13, 1981	954.34	129.64	38.10
July 10, 1981	955.67	129.37	39.95
July 9, 1981	959.00	129.30	45.51
July 8, 1981	953.48	128.32	46.00