News stories from Monday January 11, 1982

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

As legislative sessions begin for 39 states this month, few states will increase spending for social welfare programs afflicted by federal cutbacks, and no state will compensate for all federal cutbacks. Some states, such as Oklahoma and Louisana, have the resources but not the desire to increase spending for the poor. Others, such as New York, Connecticut and Michigan, rely heavily on social services but lack the funds for full support. [New York Times] The nation froze as arctic weather dumped snow drifts on highways, snapped power lines, stranded travelers and closed schools and factories in many cities. Several people, most of them elderly, froze to death in temperatures that reached as low as minus 26 degrees in Chicago, the lowest ever recorded there. The thermometer dropped to minus 5 degrees in Atlanta. [New York Times] Companies underpaid royalties to the federal government, according to investigators, who said the government lost $650 million because of underreporting by oil and gas producers operating on federal lands. The special panel of investigators said the Interior Department was unable to police its "honor system" of royalty payments, and the panel offered recommendations, including fines. [New York Times] White collar workers get laid off too, and in the current recession thousands of clerks, managers, professionals and techicians are finding themselves unexpectedly on the unemployment rolls. White collar unemployment, often aggravated by automation, is now spreading throughout the economy. From December 1980 through December 1981, it rose from 4 percent to 4.6 percent, and experts say it could get even worse. [New York Times] A 40-year sentence was upheld by the Supreme Court, which said that the length of prison terms for felonies was "purely a matter of legislative perogative." The 6-to-3 decision rejected a contention that the prison sentence imposed on a Virginia man for possession and distribution of $200 worth of marijuana constituted cruel and unusual punishment. [New York Times] Soviet support of "suppression" in Poland was assailed by the Western alliance, which warned that Western Europe may join the United States in im-posing economic sanctions against Moscow. The tough statement issued at the end of the first emergency meeting of the North Atlantic Treaty Organization was the first suggestion that Western Europe might join in sanctions. [New York Times] Poland's economy is still paralyzed, according to a Polish government economist, who blamed American sanctions for the nation's continuing economic doldrums and implied that the sanctions would prolong military rule. Restoring the economy has been a key goal of the military regime, but according to the official, Wladyslaw Baka, the economic outlook is not good. [New York Times] Taiwan may buy jet fighters, but not the more advanced aircraft that it is seeking, President Reagan has decided. The decision appears likely to satisfy neither the Taiwan government, which had requested the more advanced fighters, nor the government in Peking, which wants an end to all arms sales to Taiwan. [New York Times] Financial awards for Sinai settlers evacuating the town of Yemit are being disputed by the settlers, who think the package is insufficient, and by politicians, who think the awards are excessive. The settlers must leave by April. [New York Times]

Stock Market Report

Dow Jones Industrial Average: 850.46 (-16.07, -1.85%)
S&P Composite: 116.78 (-2.77, -2.32%)
Arms Index: 1.87

	Issues	Volume*
Advances	246	4.35
Declines	1,329	43.84
Unchanged	291	3.71
Total Volume		51.90

* 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*
January 8, 1982	866.53	119.55	42.04
January 7, 1982	861.78	118.93	43.42
January 6, 1982	861.02	119.18	51.50
January 5, 1982	865.30	120.05	47.50
January 4, 1982	882.52	122.74	36.75
December 31, 1981	875.00	122.55	40.78
December 30, 1981	873.10	122.30	42.96
December 29, 1981	868.25	121.67	35.24
December 28, 1981	870.34	122.27	28.31
December 24, 1981	873.38	122.54	23.94