April 20, 1981

The recent decision by New York State's Public Service Commission to give the Consolidated Edison Company the full 15 1/2 percent rate increase it had requested was shaped in large part by a growing mood among regulators that they must help bolster flagging investor confidence in the public utility industry. ''For the public regulators, it's a whole new ball game,'' said Commissioner Anne F. Mead, who has served on the commission since 1975. ''Given the state of the economy and the competition for capital in today's markets, we have to send some signals to the investment community.'' Consumer advocates and critics of the rate increase - the largest on record in New York State - argued that the decision was proof that the rate-making process was biased in favor of utilities. The five P.S.C. commissioners, who voted unanimously to approve the rate increase, disagree. In separate interviews, they argued that evidence in the case, which took up more than 10,000 pages in legal briefs, exhibits and hearing testimony, left them no choice but to give Con Edison the full $449.5 million in new revenue it requested.

With companies now reporting their first-quarter earnings, the early returns generally show a considerable, even surprising, measure of strength in corporate profitability, according to economists, Wall Street analysts and professional investors. There are key industries, the analysts recognize, that for various reasons will report sharp year-to-year declines in earnings. Chief among them are automobiles, oil, semiconductors and nonferrous metals. Given the sluggish economy and high interest rates, however, the nation's corporations seem to be performing quite well.

It is 9:05 A.M. and Thomas B. O'Donnell, a 28-year-old professional money shopper, is about to make his first purchase of the day. Advised that interest rates will dip as the morning ticks away, Mr. O'Donnell seeks a bargain. The First National Bank of Chicago's London branch is known to have 60-day Eurodollar certificates. They are paying 15.70 percent in interest, Mr. O'Donnell is told via telephone by a First Chicago salesman. ''I understand the market is at 15.80,'' Mr. O'Donnell replies, courteous and alert as he raises the flag of the Union Cash Management Fund for another day of genteel jousting in the international money markets. ''Would you be willing to match it?''

''In Poland they will be celebrating Easter as they have not since 1939. It is a new spring in their lives that they weren't able to celebrate before.'' -The Rev. Stanley J. Adamczyk, pastor of the Church of the Most Sacred Heart of Jesus in Wallington, N.J. (B1:1.)

Pitching his first game since last August, Craig Swan was beset by a fielding error, a quirky play and misguided Met base running yesterday and lost to the Montreal Expos, 4-3, in the first game of a doubleheader. In the second game, a hard-hitting affair that extended into the twilight, Dave Kingman hit a three-run home run, his first since returning to New York this spring, and the Mets won, 7-2. They put the game out of reach with a five-run third inning in which Rusty Staub doubled to drive in Frank Taveras, Kingman drove the ball over the left-field fence, and Doug Flynn, who has hit in all eight games this year, drove in Hubie Brooks with a double. Pat Zachry, unbeaten in three starts, pitched a complete game, allowing four hits.