Show I I W j 11 t BUSINESS and the tha STOCK MARKET by BABSON'S REPORTS INC Copyright 1971 REACHING FOR SETTLEMENT There is a breath of fresh hope that thata a way to peace in the may be found now that representatives of Isreal Egypt and Jordan are arc engaged once more in dialogue with Mediator Gunnar Jarring at the UN The very fact that the talks were resumed despite bitter countercharges counter Is proof that both the Arabs and the Israelis recognize the futility of scale full-scale war that could even involve the U. U S S. S and the USSR in cru crucial cial confrontation But until or unless a realistic settlement settlement set set- is found the uneasy truce that has prevailed so long in the Mid Mid- east will continue along 1 he e It is an irony of fate that partisans on both sides of the essential conflict between Jews and Arabs allude to their scriptures the Torah the New Testament Testament Testa Testa- ment the Holy Koran to justify their acts yet still seem ready to place their trust in naked force History however however how how- ever is filled with instances of resort to force that have brought unintended results led people where they did not want to go Survival Is At Stake Despite the talks the situation in Jerusalem is tense People of a beleaguered beleaguered be be- nation have had to make another another an an- other agonizing appraisal of their plight Feeling is rife that actual survival of their nation is at stake It has been difficult for Jewish leaders to decide on ona ona ona a practical alternative to open battle many have thought attack might be the only way out Fortunately however the decision has been made to try the conference con ference table again instead Meanwhile on the Arab side adjustments adjust ments are being made to alter cir cir- The new leader of Egypt Anwar Sad Sadat at is intelligent experienced but not a true innovator He Ire is Is as a matter of fact still taking his bearings lIe He could surprise us us but his long role as yes man to Nasser leads us to believe that he will be too busy attempting attempt ing to please various Arab factions both within Egypt and outside to be bean bean bean an immediately decisive authority Unity Hard To Achieve While Egypt Libya and Sudan have taken initial steps toward reaffirming their alliance and have reasserted their intention of forming a new pan pan Arab federation we do not look for early definite action in this matter malter There are simply too many critical differences that are beyond easy resolution On the other hand we eve do anticipate that economic military and political ties among these three nations will be substantially strengthened strengthened streng streng- over the next year Militating against early federation is the high degree of nationalism in all aU these countries There are arc a number of Arab rulers openly bidding for an opportunity opportunity opportunity op op- op- op to fill the leadership void left by the death of Nasser including leftist chiefs of Libya and Sudan Also with wilh his hat in the ring is Syrias Syria's new lead er er General Hafez al Assad al-Assad Assad who ascended ascend ed to power by way of a military coup The latter may be considered a moderate mod erate crate by many Westerners an appraisal al that will not be shared by the Israelis Is who vho know better belter than that Assad in fact Is strong in his Israel anti-Israel pro Iraq posture He Ill was against Syrias Syria's armed raids into Jordan last fall faU only on tactical grounds Watchful Waiting For U U. U S. S President Nixons Nixon's greatest hope for the time being is that present negotiations will be successful In his favor it may maybe maybe maybe be said that he was able to regain his influence at least temporarily His Ills basic commitments will include more mill mili military tary Lary assistance for Israel and possibly some for Jordan Still at the core of the Israeli Arab-Israeli struggle is the situation involving the terrible plight of displaced ed Palestinians and their descendants Until some real steps are taken to make their future assured there can be little tittle littlemore littlemore more than transient steps taken to heal the deep wounds crippling the Middle East |