September 8, 1991

Just when it seemed that the magical mystery tour of Jimmy Connors was going to last forever -- or at least as long as the United States Open -- the 39-year-old miracle worker was ambushed by logic, reality and an unsentimental, unflinching siege inflicted by French Open champion Jim Courier in their sun-drenched semifinal on the Stadium Court yesterday. "I don't know if we will ever see anybody like him again," said Courier, who nonetheless made certain the Open would see no more of its resident rabble-rouser.

The very reforms that were supposed to encourage ethnic and racial diversity may help the ailing Democratic organization retain its political grip on the New York City Council this year. In many districts, public campaign financing and easier access to the ballot inspired more challengers and divided the opposition in Thursday's primary elections, so the expected low voter turnout could make any organization pivotal.

BLOOD MEMORY By Martha Graham. Illustrated. 279 pp. New York: Doubleday. $25. MARTHA The Life and Work of Martha Graham. By Agnes de Mille. Illustrated. 509 pp. New York: Random House. $30.

The Federal Government has always depended upon rich and powerful men to help it make ends meet. For the past two centuries, the plutocratic assistance has been provided by the likes of John Jacob Astor and J. P. Morgan and, of course, Jay Cooke, the legendary banker and devout abolitionist who almost singlehandedly sold the Treasury bonds that financed the Civil War. Today, the rich and powerful men on which the Government relies are the usually obscure executives of the 39 firms known as "primary dealers," the firms through which the Federal Reserve Bank of New York buys and sells Treasury securities to adjust the nation's money supply. The Fed also requires primary dealers to bid regularly at Treasury auctions and to make a market in Treasury debt. In return, the primary dealers are the only institutions, besides banks, that are allowed to submit auction bids on behalf of other investors -- and thus, they can spy out market trends and attract new customers seeking their guidance.

Dwight Gooden underwent nearly an hour of arthroscopic surgery yesterday to repair a partial tear of the rotator cuff and a tear of cartilage in his right shoulder. Frank Cashen, the general manager of the Mets, conceded that the discovery of trouble with the rotator cuff came as a shock. He said that it was impossible to predict Gooden's future perfectly, but that the organization had been told by its doctors that the star right-hander stood a solid chance of being ready to pitch by the start of next season.