April 20, 1995

A sharp drop in the United States monthly trade deficit helped lift the dollar today from record lows against the Japanese yen and the German mark. But the increase was not enough to calm foreign exchange markets or stem demands from abroad for action by the United States to bolster its battered currency. The Commerce Department reported that the trade deficit -- the difference between what the United States buys from abroad and sells to other countries -- plunged by 24.6 percent in February. In dollar terms, it was the sharpest drop since December 1993.

THE Gothic cathedral was designed to inspire awe and thoughts of transcendence. Megachurches celebrate comfort, ease and the very idea of contemporary suburban life. This is "I'm O.K., you're O.K." architecture: friendly and accessible, determined to banish the sense of mystery and otherworldliness that has long been at the very heart of the architecture of Christianity. If megachurches, sprawling structures that often resemble arenas or community centers, evoke any sense of wonder, it is over the notion that they are churches at all.

A day after touting the success of tough new eligibility rules for New York's welfare program providing benefits to childless, able-bodied adults, Mayor Rudolph W. Giuliani said yesterday that he actually favors abolishing the program altogether. The Home Relief program, created in 1931 by Franklin D. Roosevelt when he was the Governor, now provides benefits to about 245,000 childless city residents who are able-bodied or whose disability does not qualify them for benefits under larger Federal programs. The city and the state share the cost of the $1.9 billion program, which provides an average benefit of $325 a month, or $3,900 a year.

Dollar's Recovery Gives Blue-Chip Stocks a Lift Blue-chip stocks surged to within a point of their highs, bolstered by a recovery in the dollar. A surprising 24.6 percent drop in the U.S. trade deficit in February helped the dollar gain strength against the Japanese yen and the German mark. The Dow Jones industrials rose 28.36 points, to 4.207.49. Strong earnings also helped the blue chips. but the broader Nasdaq composite index dropped sharply. D10. For Chrysler, an Issue of Cash Chrysler stands accused by some big investors -- notably Kirk Kerkorian, who wants to take it over -- of hoarding too much cash for an inevitable downturn in the car and truck markets. Choosing sides in the fight will be largely a matter of faith for shareholders. D2. Profits Up at American and US Air American Airlines and US Air reported turnarounds, , reflecting growing travel and cost cutting. American's parent, AMR, posted a profit of $38 million, or 48 cents a share, in contrast to a loss last year; US Air narrowed its loss to $117.5 million. D4. Ford Results Jump on Foreign Sales Ford said its first-quarter earnings rose 71 percent, to $1.55 billion, as strengthening sales in Europe and South America compensated for what it called a surprisingly weak market in the United States. D2. Coke Earnings Rise 22 Percent Coca-Cola's earnings exceeded analysts' estimates, rising 22 percent, to $638 million, on strong gallon sales of its products. D6. Kodak's Profits and Stock Surge Kodak's stock surged after it said first-quarter earnings shot up more than 80 percent to $262 million, or 77 cents a share, on the strength of its main business, photography. D6. Lotus Reports Loss, Vows Cuts Lotus reported an unexpectedly large $17.5 million loss in its first quarter and said it would reduce spending by $50 million. D6. Digital Has Another Good Quarter Digital Equipment posted its second consecutive quarterly profit, surpassing most analysts' expectations. Earnings rose to $74 million, led by sales of its computers. D8. Profits Up for Military Contractors Military contractors General Dynamics, Northrop Grumman and McDonnell Douglas reported higher profits in the first quarter, despite military spending cuts. D7. Seagram Expected to Expand MCA Seagram is expected to expand MCA aggressively, perhaps through big acquisitions. "I would be very surprised if this is the end of their deals," one analyst said about Seagram. Market Place. D10. MTV and Polygram Team in Asia MTV Networks and Polygram are joining forces to start two MTV channels in Asia. They will compete with a channel started by Rupert Murdoch's News Corporation and four record companies. D8. Water Theme Flows Through Ads Ads for the Jeep Grand Cherokee and the Chevrolet Tahoe, created by two separate agencies, both borrow from Norman Maclean's story "A River Runs Through It." A coincidence, the companies say. Advertising. D8. Newspapers Form Internet Alliance Eight newspaper companies have formed an alliance to provide support for affiliated daily newspapers to develop local access to news, home shopping and other services on the World Wide Web. D8.

Gas Fumes Create Panic in Yokohama In a chilling reminder of the gas attack last month in Tokyo, caustic fumes spread through Yokohama's railroad station and through a train, sending about 300 people to hospitals. No one took responsibility for release of the gas. Page A10. Court Upholds Anonymity In a decision threatening state election laws, the Supreme Court ruled the Constitution guarantees the right to distribute anonymous campaign literature. Page A20. Lugar Declares Candidacy Saying he has an unblemished character, Senator Richard Lugar of Indiana announced that he would seek the Republican nomination for President in 1996. Page A16. Mayor Wants to End Relief A day after touting the success of new rules for a welfare program, Mayor Giuliani said he really favors abolishing the program. Page B3.