Path: bloom-picayune.mit.edu!snorkelwacker.mit.edu!news.media.mit.edu!americast.com!americast.com!usa-post Newsgroups: usa-today.invest From: usa-post@AmeriCast.Com Organization: American Cybercasting Approved: usa-post@AmeriCast.com Subject: invest Thu, Jun 25 1992 Date: Thu, 25 Jun 92 05:35:29 EDT Message-ID: 06-25 0000 DECISIONLINE: Personal Investing USA TODAY Update June 25, 1992 Source: USA TODAY:Gannett National Information Network SEC IS CALLED COURAGEOUS: A group of executive-pay commentators Wednesday called the Securities and Exchange Commission courageous for its recent moves. Tuesday, the SEC proposed reforms for simplifying the reporting of executive pay and for allowing shareholders more latitude in communicating with each other. The group was pulled together by the Hay Group to discuss CEO pay. INVESTOR ACTIVITY COULD JUMP: Securities and Exchange Commission Chairman Richard Breeden is "a profile in courage" for proposing reforms regarding CEO pay and shareholders, says executive-pay commentator Sarah Teslik. Institutional investors could become much more active in pressuring underperforming companies if the new SEC rules are put into effect in two months as the SEC hopes. RULING ON CIGARETTES EXPECTED: The Supreme Court's split decision on the ability of smokers to sue cigarette makers won't cause much long-term decline in tobacco stocks, analysts said Wednesday. Argus Research's Jennifer Solomon recommends Philip Morris stock, saying it would "take a hit" but "will weather this." Philip Morris traded at 70 7:8, down 2 1:4 on volume of 4.1 million shares on the New York Stock Exchange. STOCKS SLIDE SOME ON NEWS: The Supreme Court's decision Wednesday regarding suits against tobacco companies was narrow. The court ruled 5-4 that manufacturer warnings are not enough to protect them against suits. Analysts said the expected decision won't cause much long-term decline tobacco stocks. American Brands fell 1 5:8 to 43 7:8; RJR Nabisco Inc. eased 1:8 to 9 1:8. TOBACCO DOMINATES MARKET: The stock market posted scattered gains Wednesday for the second straight session. The Dow Jones average of 30 industrials rose 5.08 to 3290.70. Broader indexes were down slightly. Gainers edged out losers 868 to 845 on the New York Stock Exchange, where volume was light at 194 million shares. Buyers are waiting to see if the Federal Reserve is going to ease interest rates, traders say. NIKKEI PLUNGES AGAIN: The fast-sinking Japanese stock market stumbled again Wednesday, finishing at its lowest point in nearly six years. The Nikkei average's plunge to 15,853.67, down 253.32 points, put it 59% below its Dec. 31, 1989, peak. Some U.S. investors are showing renewed interest in Japanese stocks. But international stock analysts generally advise against bottom fishing in Japan just yet. ANHEUSER-BUSCH TO REPURCHASE: Anheuser-Busch Cos. Inc. said Wednesday it will repurchase 20 million shares, about 7% of the St. Louis-based brewer's outstanding stock. The company said a 15-million-share buyback begun in June 1988 is about 75% completed. Dillon Read & Co. will be agent for the buyback and will purchase shares in the open market or privately. The stock was up 1 1:4 to $55 3:4. GABELLI UPS PINELANDS STAKE: A group led by New York financier Mario Gabelli increased its stake in Pinelands Inc. common stock Wednesday to 14.65% from 13.62% by acquiring additional shares worth $3.14 million, Bloomberg Business News said. The group's increase in the owner and operator of New York station WWOR-TV includes purchases between May 11 and June 19 at $17.63 to $17.75 per share. GENSIA STOCK RATED A BUY: First Boston analyst Jeff Swarz has rated Gensia Pharmaceuticals a "buy." Shares were up 3:4 Wednesday at 35 1:2 on NASDAQ volume of 306,900 shares following the recommendation that came after the market closed Tuesday. Gensia's three-month average daily volume is 424,700 shares. The analyst cited Gensia's "highly focused class of adenosine-regulating drugs" for heart problems. BASS GROUP TO UP TEREX STAKE: An investment group that includes officials of Bass Enterprises Production Co. Wednesday bought shares currently valued at $4 million to increase its stake in Terex Corp. The group, which includes the Airlie Group, upped its stake in the maker of heavy-duty mining equipment to 12.4% from about 8.8%. Bass is a Texas company in the oil exploration and drilling business. CD YIELDS DROP THIS WEEK: Bank certificate of deposit yields fell this week, according to "Bank Rate Monitor." Average yields on 6-month were 3.69% compared to 3.71% last week; 1-year, 4.04% compared to 4.06%; 2 1:2-year, 4.93% compared to 4.95%; 5-year, 6.14% compared to 6.15%. DOW JONES OPENS ON UPSWING: The Dow Jones average of 30 industrials opens Thursday at 3290.70 after closing up 5.08 Wednesday. The New York Stock Exchange composite opens at 221.81, down 0.18. The American Stock Exchange market value opens at 374.20, down 2.54. The NASDAQ OTC composite opens at 551.40, down 1.97. DOLLAR OPENS DOWN OVERSEAS: The dollar opens down on Thursday. It opens at 0.5319 British pounds, down from 0.5362; 5.2175 French francs, down from 5.2540; 1.5495 German marks, down from 1.5635; and 126.46 Japanese yen, down from 127.07. (As of 3 p.m. Wednesday. Source: First American Bank of New York.) 24-HOUR TELEPHONE INFORMATION: USA TODAY Money Hot Line. 95 cents a minute. 1-900-555-5555. Personal Investing Editor: Beth Mann. (1-919-855-3491) Making copies of USA TODAY Update (Copyright, 1992) for further distribution violates federal law. This article is copyright 1992 Gannett News Service. 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