August 10, 1989

LEAD: THE ECONOMY A fundamental remaking of the savings industry was quickly set in motion as President Bush signed legislation intended to end years of staggering losses. Mr. Bush expressed pride in the bill passed by Congress early Saturday, saying it would ''put in place permanent reforms.'' The law calls for outlays of $166 billion over 10 years to close and merge insolvent institutions, and many more billions after that.

LEAD: President Bush will name Gen. Colin L. Powell of the Army to be the new Chairman of the Joint Chiefs of Staff, an appointment that would make him the first black officer to hold the nation's highest military post, Administration officials said today.

LEAD: The largest remaking of America's financial system was set in motion today as President Bush signed a bill that will eventually marshal hundreds of billions of dollars in support of the Government's commitment to guarantee the safety of depositors' money.

LEAD: The scandal that led to the indictment last week of 46 commodity traders appears to have dealt a serious blow to the prestige of the Chicago Board of Trade and the Chicago Mercantile Exchange. But it is unlikely to put much of a dent in their business.

LEAD: When they learned in March that Bob Vila's commercial endorsements had cost him his position as host of ''This Old House'' on public television, more than 400 people applied to WGBH in Boston for his job on the popular home renovation program.