Business and Finance
VOLCKER DECLINED unexpectedly a third term as Fed chairman, and economist Alan Greenspan was nominated his successor. Greenspan, 61, is expected to pursue similar policies on inflation, interest rates and economic growth. But analysts said Greenspan, though respected, will need to win the confidence of financial markets, particularly abroad.</br></br>The dollar and bond prices nose-dived as foreign investors reacted nervously to Greenspan's nomination. Stocks were only modestly lower, while commodity prices soared.</br></br>---</br></br>Factory orders inched up 0.2% in April, but the gain was due entirely to higher military orders. The April rise, following a revised 2.6% increase in March, reflected sluggishness in manufacturing. Meanwhile, sales of single-family homes rose 7.6%, but analysts called the surge temporary.</br></br>---