NEW YORK, JULY 14 -- The earnings-driven market was alive and well today as stock prices closed sharply higher in response to positive second-quarter reports.
The Dow Jones average of 30 industrials reached another record at the close, climbing 28.38 points to 2481.35. The previous closing high, on July 8, was 2463.97. The Dow was up 14.19 that day.
Big Board volume totaled 185.85 million shares, up from 152.46 million in the previous session.
"Earnings reports have been in line or better than projected, and this has given the market a boost," said Michael Metz, an analyst with Oppenheimer & Co.
The market picked up steam on earnings reported Monday and today by several computer companies, including Apple, Intel and NCR, said Lawrence Wachtel, a market strategist with Prudential-Bache Securities Inc.
However, analysts said the market shrugged off disappointing results from IBM, which said its profits fell 9.8 percent from its level of a year earlier. The decline was less than expected by most analysts, but IBM -- which reached new levels in the previous session -- closed down 2 3/8 at 167 1/2. However, Digital Equipment was up 2 1/2 to 166 1/8, Texas Instruments rose 2 1/2 to 62 3/4 and Data General jumped 1 1/4 to 31 1/2.
Auto stocks also did well. "The feeling is the low point in sales may be behind and maybe they'll have a better second half," Metz said.
Ford was up 3 1/4 to a new high of 106 5/8, General Motors jumped 2 to 85 1/4 and Chrysler rose 1 3/8 to 38 1/8.
Leading the NYSE most active list was AT&T, which picked up 7/8 to close at 30 1/4. Among the other big gainers were Sears Roebuck, which was up 1 1/8 at 51 3/8, Teledyne, which rose 3 1/2 to 372 1/4 and Merck, which soared 4 3/4 to 179 3/8.
Losers included Texaco, which slipped 3/8 to 43 3/4 after Australian investor Robert Holmes a Court for the third time in a week indicated that he had raised his stake in the oil company.
Nationwide turnover in NYSE-listed issues, including trades in those stocks on regional exchanges and in the over-the-counter market, totaled 216.54 million shares.
The NYSE's composite index was up 1.49 at 174.67.
Standard & Poor's index of 400 industrials rose 3.94 to 363.24, and S&P's 500-stock composite index was up 3.05 to 310.68.
At the American Stock Exchange, the market value index rose 2.04 to close at 349.72. The Nasdaq composite index for the over-the-counter market closed at 431.14, up 4.61.