September 17, 1985

Oil prices and the stock prices of major oil companies fell moderately yesterday in response to news that Saudi Arabia, the premier oil power, had cut its prices and would raise production. Analysts said several factors prevented a larger downward reaction: Trading was light because of the Jewish New Year; prices had already declined last week on rumors of the impending Saudi move, and oil inventories are much lower than normal for this time of year, suggesting that a price run-up is in store when the cold weather hits. But the analysts predicted that even if oil prices recover somewhat this winter, they will probably drop next spring to perhaps $5 below the current official price of $28 for Arab Light. If a price war occurs, it could push oil prices down to perhaps $18 a barrel, some experts said, echoing statements by the Saudi oil minister, Sheik Ahmed Zaki Yamani, during the weekend.

Robert C. McFarlane, President Reagan's national security adviser, said today that the Administration had established policy positions in ''every area'' of disagreement with the Soviet Union to use in talks at the November summit meeting. Mr. McFarlane, disclosing details of the Administration's aims going into the talks, said positions had been developed on the four major areas expected to dominate the discussions in Geneva on Nov. 19-20. He said these areas were arms control, regional issues, matters between the two countries and human rights. No 'Illusions' About Ties Mr. McFarlane's comments came in a speech here to the Air Force Association that was devoted largely to relations between the United States and the Soviet Union.

The United States has become a debtor nation for the first time since World War I, owing foreigners more than they owe it, a Commerce Department report indicated today. The Commerce Department report on the country's international accounts also disclosed the largest quarterly deficit in the nation's merchandise trade on record, for the period from April through June, and the second-worst quarterly deficit ever in the broader measure of international transactions known as the current account, which includes trade. Analysts said the figures were certain to heighten pressure in Congress to enact protectionist legislation to slow the inflow of imported goods. President Reagan has in recent days repeatedly reaffirmed his longstanding commitment to free trade and has threatened to veto protectionist bills. $39.5 Billion Rise in First Half The report showed that foreign investors - governments, industries and individuals - increased their assets in the United States by $39.5 billion in this year's first half and by $25.8 billion in the second quarter alone.

GALLSTONES - a vexing health problem affecting millions of Americans and normally requiring major surgery or long-term treatment with pills - can often be quickly dissolved in the body with a new method devised by doctors in Minnesota. It takes less than three days to turn even large gallstones into a fluid with the experimental technique. Dissolution results from the action of a liquid called methyl tert-butyl ether, MTBE, a chemical cousin of the diethyl ether that has been used in surgery as a general anesthetic for more than a century. The ether preparation is injected through a thin tube that pierces the skin and is guided through the liver to enter the gallbladder. The stones that form there afflict up to 20 million Americans and come in a variety of sizes, shapes and chemical compositions. The ether solution can dissolve cholesterol gallstones, the most common type.

New York's two Senators said today that at Governor Cuomo's request they would conduct an immediate assessment of whether there is still hope of winning Congressional support for Westway. Supporters of the $2.3 billion highway and development project are under intense pressure because, under current law, they have until Sept. 30 to decide whether to continue efforts to build the stalled project or trade in $1.7 billion in Federal funds for use on a smaller highway and mass-transit improvements. The review, which will include consultation with other Senators and members of the House of Representatives, will gauge Congressional support for bills to extend the trade-in deadline in light of two serious setbacks last week.