News stories from Tuesday January 26, 1982
Summaries of the stories the major media outlets considered to be of particular importance on this date:
- The President will stick to the tax cuts that are the basis of his economic recovery program, he vowed in his first State of the Union address, in which he also announced a sweeping plan to transfer $47 billion in federal programs to state and local govern-ments. Proposing to change the relationship between the federal government and the states with "a single, bold stroke," Mr. Reagan called for a "financially equal swap." The government would exchange its responsibility for food stamps and payments to poor families with dependent children, for the Medicaid program. [New York Times]
- Continued large budget deficits threaten the economic recovery President Reagan has forecast for this year, Paul Volcker, chairman of the Federal Reserve Board, said at a hearing of Congress's Joint Economic Committee. Rejecting recent criticism of the Fed by the President and Treasury Secretary Donald Regan, Mr. Volcker said that big deficits -- not the Fed's tight monetary policy -- were a key cause of continued high interest rates and the chief threat to recovery. The President, in his State of the Union address, asked Congress to approve a program that included major spending cuts but a smaller package of tax increases than his advisers had recommended to reduce the deficit. [New York Times]
- Democrats challenged the President and said the state of the union was bad. They charged that the first year of Mr. Reagan's term was characterized by "unfairness" to the poor and the elderly, to young families seeking homes, to small businessmen and to farmers. Their opinions were expressed on national television in a program taped before the President's State of the Union address. [New York Times]
- A boy said that he had been lured into a car and fondled by Wayne Williams, who is on trial for the murder of two young Atlanta men. The 15-year-old surprise witness, whose name was withheld by the court because of his age, also testified that he saw Mr. Williams pick up Lubie Geter, 14, about a month before the boy's body was found on a country road. [New York Times]
- $11 billion for more military planes and a plan to produce new chemical weapons have been approved by President Reagan, administration officials said. A senior Air Force general told reporters that the administration would request $11 billion over the next five years to buy 50 Lockheed C-5 Galaxies, the world's largest cargo plane, and 44 McDonnell Douglas KC 10's, which can serve either as cargo planes or tankers. [New York Times]
- An Abscam defendant had surgery on the day he was to be sentenced in federal court in Uniondale, N.Y., on a bribery conviction that followed the federal investigation into political corruption. The defendant, Senator Harrison Williams of New Jersey, could face a prison term of up to 15 years. He underwent surgery to correct a hernia condition. [New York Times]
- Poland cast a long shadow over the talks in Geneva between Secretary of State Alexander Haig and Foreign Minister Andrei Gromyko of the Soviet Union, Mr. Haig said after their eight hours of discussion. At a news conference, he sought to leave the impression that his discussions with Mr. Gromyko were as chilly and confrontational as he and his aides said last week they would be. There was no comment on the talks from the Soviet side. [New York Times]
- Hundreds of Salvadorans died in a massacre in El Salvador last month, according to peasants in the rebelcon-trolled northern part of Morazan province. The skulls and bones of many bodies lay among the ruins of burned-out houses. They were the remains of relatives and friends, the peasants said. The villagers say that 733 people were murdered by government soldiers. [New York Times]
- The Kremlin's chief ideologist died. He was Mikhail Suslov, who was a top official of the Soviet Communist Party and one of the most powerful men in the Kremlin after Leonid Brezhnev. The medical bulletin, signed by eight doctors, said Mr. Suslov had suffered for a "lengthy period" from arteriosclerosis and diabetes. He was 79 years old. [New York Times]
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Stock Market Report
Dow Jones Industrial Average: 841.51 (-1.24, -0.15%)
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 25, 1982 | 842.75 | 115.41 | 43.17 |
| January 22, 1982 | 845.03 | 115.38 | 44.39 |
| January 21, 1982 | 848.27 | 115.75 | 48.60 |
| January 20, 1982 | 845.89 | 115.27 | 48.86 |
| January 19, 1982 | 847.41 | 115.97 | 45.06 |
| January 18, 1982 | 855.12 | 117.22 | 44.91 |
| January 15, 1982 | 847.60 | 116.33 | 43.31 |
| January 14, 1982 | 842.28 | 115.54 | 42.94 |
| January 13, 1982 | 838.95 | 114.88 | 49.13 |
| January 12, 1982 | 847.70 | 116.30 | 49.80 |