July 7, 1992

The nation's auto industry yesterday reported strong sales for late June, propelled by what executives said was rising consumer confidence and a stronger economy. The news seemed to run counter to the gloomy economic picture painted by last week's report that the nation's unemployment rate had risen sharply in June. But auto executives said the cut in interest rates that followed the release of the jobless data would help the industry.

Auto Sales Perk Up The American automobile industry posted strong sales in late June, propelled by what executives said was rising consumer confidence and a stronger economy. Page D1. Japan Admits It Ran Brothels Japan admitted that its military put tens of thousands of women into Government-run brothels for its soldiers during World War II. Page A8.

Recent world developments have forced mapmakers to work overtime, and now Commissioner Fay Vincent has changed baseball's map. Vincent yesterday ordered the National League to realign beginning next season, moving the Chicago Cubs and the St. Louis Cardinals to the Western Division and the Atlanta Braves and the Cincinnati Reds to the Eastern Division. The commissioner's decision, which was expected, nevertheless prompted criticism from Bill White, the National League president. It may also trigger a lawsuit by the Cubs, in which the Los Angeles Dodgers could join, even though the Major League Agreement bars clubs from suing the commissioner. At the very least, the decision is certain to produce considerable debate among fans from coast to coast.

Banking regulators from the United States and 11 other industrialized countries moved today to reduce the chances that banks with operations in more than one country would fall through the regulatory cracks the way the Bank of Credit and Commerce International did. The regulators said they had agreed to tighten the minimum standards for the supervision of international banking groups and their cross-border operations.

The Economy The auto industry reported strong sales for late June, propelled by consumers' "buying American." Detroit's Big Three gained market share against the Japanese, and G.M.'s Saturn division had a particularly strong month. June's seasonally adjusted annual selling rate for domestic cars was the best in 18 months. [ Page D1. ] For millions of Americans looking for work -- and for the Presidential candidates -- June's surge in unemployment poses a big question: Is the economy's new weakness a blip or a dip? [ D1. ]