THE PRESIDENT'S DAILY BRIEF 16 JUNE 1971

• Document Type: FOIA
• Collection: President's Daily Brief 1969-1977
• Document Number (FOIA) /ESDN (CREST): 0005992699
• Release Decision: RIPPUB
• Original Classification: T
• Document Page Count: 8
• Document Creation Date: August 14, 2016
• Document Release Date: August 24, 2016
• Publication Date: June 16, 1971

Declassified in Part - Sanitized Copy Approved for Release 2016/06/14 : CIA-RDP79T-00936A009600140001-6
The President's Daily Brief
16 June 1971
48
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FOR THE PRESIDENT ONLY
THE PRESIDENT'S DAILY BRIEF
16 June 1971
PRINCIPAL DEVELOPMENTS
The latest military developments in Laos are related
on Page 1.
Chile's foreign exchange reserves have fallen sharply
since Allende entered office. (Page 3)
Soviets/
/ (Page 4)
Three Soviet oceanographic ships have been operating
in the Gulf of Mexico. (Page 4)
The massive flow of dollars into Japan continues.
(Page 4)
FOR THE PRESIDENT ONLY
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LAOS
Area of
maps
' 4111 Government-held location
? Communist-held location
25
MILES
50
hiafay Plateau.
551551 6-71 CIA
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LAOS
The government estimates that 465 of the nearly
1,600 troops committed to its abortive operation to
retake Paksong in the Bolovens Plateau area are still
missing as a result of the North Vietnamese counter-
attack last week. Government casualties from the
action are listed as 26 irregulars killed and some
175 regulars and irregulars wounded. Air and ground
observers believe there were as many as 500-600 North
Vietnamese casualties--principally from air and ar-
tillery attacks--but intercepts from enemy units in
the area do not indicate extensive casualties.
A Lao Army battalion operating in the western
part of the Plateau, about five miles east of the
junction of Routes 23 and 231, was attacked yesterday
by a North Vietnamese force of two to three companies.
The battalion command post, with air and artillery
support, stood its ground, but some outlying posi-
tions were lost.
To the north, on Route 9, government irregulars
have entered the abandoned town of Dong Hene and
have occupied some enemy positions east of the town.
The irregular task force plans to move toward Muong'
Phalane in the next few days.
The light enemy resistance thus far in
this area tends to confirm reports that
enemy units have pulled back toward Muong
Phalane.
In northern Laos, action in the past few days
has been limited to small-unit clashes and shelling
attacks on irregular positions near Bouam Long and
around the southern and western edges of the Plaine
des Jarres.
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SOUTH VIETNAM
2
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CHILE
/official net reserves have fallen by at least
30 percent since Allende became President last No-
vember. Because of falling export earnings and
sharply rising imports, the US Embassy predicts a
trade deficit of about $180 million this year. The
embassy believes reserves will fall to about $100
million by the end of 1971 unless copper output
dramatically increases or world copper prices jump.
Allende could relieve some of this pressure
by taking unpopular measures, such as ra-
tioning consumer goods, devaluating the
currency, or putting less emphasis on in-
come redistribution. Such moves, however,
would fall most heavily on groups that con-
stitute the bulk of his political support.
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NOTES
USSR:7
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USSR: Three Soviet oceanographic research ships
that were in Cienfuegos last week have been operating
in the central Gulf of Mexico and are currently
headed toward the Straits of Florida. Basic data on
the hydrographic and acoustic properties of these
waters are essential for operations of Soviet sub-
marines and ASW ships. Increased Soviet research
activity began in the Caribbean a year ago and has
continued intermittently since then.
Japan: The continuing massive inflow of dollars
is likely to increase pressure for yen revaluation.
Japan's foreign exchange reserves now stand at nearly
$8 billion and are third behind those of the US and
West Germany compared with a sixth-place ranking
last June. Although Tokyo had been able gradually
to reduce the dollar inflow through the first week
in June, last week's inflow--$370 million--reached
the second highest level since early May.
FOR THE PRESIDENT ONLY
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7ct. '?
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Top Secret
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