THE PRESIDENT'S DAILY BRIEF 11 OCTOBER 1967

• Document Type: FOIA
• Collection: President's Daily Brief 1961-1969
• Document Number (FOIA) /ESDN (CREST): 0005974058
• Release Decision: RIPPUB
• Original Classification: T
• Document Page Count: 12
• Document Creation Date: September 16, 2015
• Document Release Date: September 16, 2015
• Publication Date: October 11, 1967

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The President's Daily Brief
11 October 1967
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DAILY BRIEF
11 OCTOBER 1967
1. Soviet Union
2. Soviet Union
3. Middle East
Moscow's announcement of a 15 per-
cent increase in the defense budget
does not mean that actual military out-
lays will go up that much next year.
We doubt that they will.
Some of the announced increase
probably reflects accounting changes
which shift defense expenditures into
the military budget from other budget
categories. Also, major price changes
put into effect in mid-year may have
generated an "inflationary" effect on
the defense budget.
The over-all Soviet budget for
1968 will be 12 percent larger than
this year's. The defense share of this
larger pie will go up from 13.2 to 13.5
percent.
Arab terrorists from Syria have
again been slipping across Jordan into
Israel and the Israeli-occupied West
Bank, despite Jordanian and Syrian ef-
forts to stop them. The Israelis are
warning publicly that they may have to
strike back. If they do, it will be
without warning. Syrian alarm at this
prospect led President Atasi early
this week to seek an urgent conference
with the leaders of Iraq, presumably
to ask for Iraqi aid if an attack comes.
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4. Egypt
5. Uruguay
People who have talked with Nasir
recently have found him still deeply
despondent over his shattered dreams
for the country.
Nasir
does
not seem to be active in the day-to-
day business of government.
Nasir is still the idol of the
Egyptian masses, but his hold on the
reins of power has clearlyslipped.
This is evident in the subsurface man-
euverings under way among various con-
tending government factions. We regard
these as symptoms of his weakening pres-
tige and influence rather than the de-
velopment of clear-cut moves to out
Nasir probably recognizes that none
of his potential successors have the
guts to assume responsibility for work-
ing out a postwar settlement. For this
reason, he may well be around at least
as long as he thinks such a settlement
is possible.
President Gestido is moving with
unprecedented force to back up the se-
curity measures he declared Monday night.
Several union leaders have been jailed,
and all pro-
strike rallies and propaganda have been
banned. The Communists may still try
to pull off the general strike they had
scheduled for today, but their chances
of success are now greatly diminished.
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6. Ecuador
President Arosemena is certainly
not getting any kudos from other Latin
American capitals for his abrupt move
against Ambassador Coerr.
Arosemena's latest gambit was dic-
tated, as is most everything he does,
by his calculation of how best to fur-
ther his own political fortunes. His
foreign minister said as much on Mon-
day when he privately called the move
"absolutely essential from a political
standpoint." Now, he went on, the
President can have the upper hand when
Congress meets next month.
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TOP SECRET
SPECIAL DAILY REPORT ON NORTH VIETNAM
FOR THE PRESIDENT'S EYES ONLY
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Special Daily Report on North Vietnam
for the President's Eyes Only
11 -0Ctober 1967
I. NOTES ON THE SITUATION
II. NORTH VIETNAMESE REFLECTIONS OF US POLITICAL
ATTITUDES TOWARD THE WAR
More Comments on the San Antonio Speech: Hanoi
has offered another rebuttal to,President Johnson's
29 September San Antonio speech in the 3 October
issue of the army daily paper. This rebuttal has
also been broadcast throughout North Vietnam.
' The article claimed at the outset that just as
Ambassador Goldberg's earlier speech on-Vietnamhad
been .an effort to "fool world public opinion," the
.President in his statement tried "to fool US public
opinion." It ridiculed the President's declarations
that the US is "ready to stop immediately the aerial
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bombing and naval shelling of the North should this
lead quickly to fruitful talks," and that "the US
wants North Vietnam not to misuse this pause or bomb-
ing restriction during the talks."
Hanoi claimed that the President's statement,
"despite its new gloss," was the same old "100 per-
cent aggressive US stand." "This is but a conditional
pause," the article contended, and "by demanding a
similar act or fruitful talks, Johnson is insolently
posing prerequisites for the talks." Moreover, the
article asserted that the US wants not only a con-
ditional pause, but talks in accordance with the
"American conditions."
The article also restated Hanoi's long-standing
demand that the bombings must be stopped uncondition-
ally before any talks can be held and underscored
Hanoi's determination to fight for "5, 10, 20 or more
years until final victory can be achieved."
* * *
Hanoi on "Peaceful Settlement": In its custom-
ary fashion, Hanoi is once again claiming that current
US statements about a peaceful settlement of the war
are Merely shields behind which "the US imperialists
have further escalated the war." In a domestic broad-
cast on 5 October, Hanoi offered a wrap-up of the US
"criminal escalation" alleging that the latest bomb-
ing raids have been mainly directed against densely
populated areas, as well as economic and civilian es-
tablishments including a number of schools. The broad-
cast pointed out, however, that the furious struggle
by the Vietnamese people in both the North and South
is forcing the US to pay a heavy price for its aggres-
sion, and that the people of Vietnam are resolved to
fight and win "no matter how much longer we will have
to fight and no matter what hardships we will have to
undergo."
* * *
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