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Publication: European Stars and Stripes Sunday, July 22, 1990

You are currently viewing page 14 of: European Stars and Stripes Sunday, July 22, 1990

     European Stars and Stripes (Newspaper) - July 22, 1990, Darmstadt, Hesse                                Page 14 a the stars and stripes sunday july 22,1990 Dow Jones flirts with 3000 plateau again new York up a the Dow Jones Industrial average toyed with 3000 last week but failed to close above the historic Mark. A combination of profit taking computer driven sales and a Batch of disappointing earnings reports caused the Dow industrials to plunge 32,67 Friday to close at 2961.14. 3 for the week that represented a loss of 19.06 Points or 0.6 percent. Broad Market indexes Standard amp poor a 500-Stock Index lost 5.70 to end the week at 361.61 re lev Ney Stock Exchange composite Index fell 2.68 to close the week at 197.65 _ declines led advances 1,200-717 among the 2,197 week. Big Board volume totalled 834,887,170 shares. This compared with 856,366,780 a week earlier and 880,149,150 shares a year ago. The closely watched Dow average flirted with 3000 on monday and tuesday but closed just Short of that level on both Days. A the weight of these earnings reports fell on the Market a said Tom Gallagher managing director in charge of capital commitment at Oppenheimer amp co. The technology stocks got creamed with that and led the Market  from a technical standpoint the Downs failure to close above 3000 May leave it poised for a sell off this week due to the divergence Between the Dow and the Broad Market said Ricky Harrington senior vice president at Manon Bass financial Center in Charlotte . A the Overall Market does not look Good a he  funds Quot the strength in the Dow is not being accompanied by the same Type of strength in secondary markets. A the technical condition of this Market leaves a lot to be desired a he said. On the trading floor last week United telecoms was the most Active Issue dropping 11% to 27 a. Wal Mart stores followed off 2% to 33 get which reported higher second Quarter earnings was third off % to 28 a a. In the High tech sector at amp to Rose % to 37 is and ism despite reporting healthy second Quarter earnings fell 3% to 117%. On the american Stock Exchange the amex Market value Index fell 3.54 to close Friday at 360.45. Declines led advances 469-333 among the 1,019 issues traded. Amex volume totalled 62,059,015 shares compared with 71,050,520 traded a week earlier and 65,735,885 traded in the same week a year ago. The National association of securities dealers composite Index fell 13.16 to end the week at 455.28. In Ute Over anti los Angeles not a the Navy dealt a major blow to Lockheed corp. Friday cancelling a contract for the company to build a new generation of submarine fighting aircraft because of what the Navy said was Lockheed a inadequate  and the Navy have been locked in a dispute Oyer the program since last year when the company said it had miscalculated How much of the planned p-7a anti submarine plane could be based on its predecessor the p-3, which is also built by Lockheed. Lockheed had to reduce its fourth Quarter earnings by $300 million last year because of its mistake which put the program Well behind schedule. It is highly unusual for the Pentagon to take a major weapons contract away from a supplier. But the Navy harshly criticized Lockheed on Friday saying the company a had failed to make adequate Progress in designing the p-7 and building the first two prototypes which were scheduled for delivery in two years. The Navy had planned to buy 125 p-7s by the end of the Century for a total of More than $3 billion. Lockheed a initial development contract was Worth $600 million. The Navy said it was cancelling the contract for cause a designation that Means Lockheed cannot recover from the government any investment it has in the program. But Lockheed said it planned to Appeal the decision. From Page 13 or mint Teca Teny. Tehyi. Us vat  it Aee tap blues a Cate Dir set a tsp Seq inc Gimp Globa Gierre Giblo. 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