News stories from Wednesday September 1, 1982

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

President Reagan's veto of a $14.1 billion supplemental appropriation will be sustained when Congress reconvenes next week, according to the unanimous prediction of congressional leaders. The Democratic leaders view the veto as a politically inspired effort to mend fences with conservatives who vigorously but futily tried to defeat Mr. Reagan's bill to increase taxes by $98.3 billion. [New York Times] An overriding campaign issue will dominate the November congressional elections, according to politicians and pollsters. They say that probably not since the late 1940's has there been a midterm election in which the outcome hinged so heavily on a single issue as it does this year on public reaction to President Reagan's economic program. [New York Times] Federal support for private groups is declining sharply at a time when the Reagan administration expects the nonprofit organizations to shoulder many responsibilities formerly borne by the government, according to a new study issued by the Urban Institute. The study said that from 1982 through 1985, the private organizations would lose 20 percent of the real value of federal aid. [New York Times] The efficacy of two anti-flu drugs was indicated by a study of 450 volunteers in Burlington, Vt. The study found that either of the drugs, amantadine and rimantadine, if taken early in an outbreak of influenza, could greatly reduce the chances of getting the common viral infection. [New York Times] Levels of lead in the human body are greater in black children than in white children, a new nationwide study confirmed. Unexpectedly, the study found that the difference could not be attributed to income level or type of residential area, as had been previously suggested. [New York Times] The chief suspect in the slaying of Nathan Masselli, a federal informant, was picked out of a police lineup by a witness to the gangland-style slaying, law enforcement officials said. The victim and his father, a purported mobster, had been questioned by Leon Silverman, the special federal prosecutor who is investigating allegations that Labor Secretary Raymond Donovan had dealings with organized crime figures. [New York Times] "Full autonomy" for Palestinians, under some sort of Jordanian supervision, in the Israeli-occupied West Bank and Gaza Strip was endorsed by President Reagan. In a televised speech, Mr. Reagan also called for a halt in Jewish settlement of the occupied areas that he said was essential for peace. [New York Times] Israeli officials reacted angrily to a letter from President Reagan in which he asked for a freeze on Jewish settlement in the occupied territories and suggested that they be linked in confederation with Jordan. [New York Times] The pullout of Palestinian guerrillas and Syrian troops from west Beirut ended as the last shipload of guerrillas sailed for Syria. Lebanese security sources said the departure brought the total number of evacuees to almost 15,000. Defense Secretary Caspar Weinberger, who visited Beirut before going to Israel, said the 800 United States Marines now occupying the port would leave Lebanon "in a few days." [New York Times] Nationalization of Mexico's banks to curb the frantic flight of capital was announced by President Jose Lopez Portillo in his final State of the Union address. He said that exchange controls would be imposed and that all banks would remain closed until Monday while the Bank of Mexico assumes control. [New York Times] A sharp cut in the scope of sanctions the Reagan administration has applied against two French companies that have shipped equipment to the Soviet Union for its natural gas pipeline to Western Europe is planned, according to Treasury Secretary Donald Regan. He said the sanctions would affect only oil and gas equipment and would no longer bar violators from receiving American products. [New York Times]

Stock Market Report

Dow Jones Industrial Average: 895.05 (-6.26, -0.69%)
S&P Composite: 118.25 (-1.26, -1.05%)
Arms Index: 1.48

	Issues	Volume*
Advances	684	26.11
Declines	889	50.07
Unchanged	381	6.65
Total Volume		82.83

* 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*
August 31, 1982	901.31	119.51	86.36
August 30, 1982	893.30	117.66	59.56
August 27, 1982	883.47	117.11	74.39
August 26, 1982	892.41	118.55	137.28
August 25, 1982	884.89	117.58	106.19
August 24, 1982	874.90	115.34	121.65
August 23, 1982	891.17	116.11	110.30
August 20, 1982	869.29	113.02	95.88
August 19, 1982	838.57	109.16	78.26
August 18, 1982	829.43	108.53	132.68