Stocks Sidestep Google

Updated from 4:07 p.m. EST

Blue chips closed solidly higher Wednesday as stronger-than-expected sales from U.S. automakers and falling oil prices helped ease the sting of Google's (GOOG Quote) earnings miss. Tech stocks managed to inch ahead.

The Dow Jones Industrial Average rose 89.09 points, or 0.82%, to 10,953.95, lifted by a 4.8% rise in Boeing(BA Quote). The S&P 500 was up 2.38 points, or 0.19%, at 1282.46, and the Nasdaq overcame a Google selloff to add 4.74 points, or 0.21%, at 2310.56.

"To put it in perspective, even after the Dow's jump today, it is still underperforming the Nasdaq," said Art Hogan, chief market strategist with Jefferies. "The Dow had the ground to make up, and with the price of oil tanking it had a hand-in-glove reaction. Nasdaq did nothing in the face of Google getting slaughtered. What a divergent day it was."

About 1.92 billion shares traded on the New York Stock Exchange, with advancers beating decliners by a 9-to-7 margin. Trading volume on the Nasdaq was 2.30 billion shares, and eight stocks fell for every seven that rose.

The 10-year Treasury bond was down 11/32 in price to yield 4.56%, and the dollar rose against the yen and euro.

"Volatility hasn't picked up yet while interest rates keep heading higher," said Barry Hyman, equity market strategist with Ehrenkrantz King Nussbaum. "With the Fed come and gone, we're trying to figure out the next step here. Eventually, this will filter into worry."

Google was the story of the market day. After the close Tuesday, the company reported an 83% rise in quarterly profits but said adjusted earnings were just $1.54 a share, missing the $1.76-a-share Wall Street consensus. An unexpectedly high tax rate appeared to be the chief culprit, but backers who have ridden the stock up 20% since October weren't waiting around for explanations.

To view Gregg Greenberg's video take of the market, click here.