* Services sector grows in April, fastest pace in 8 months
* JPMorgan leads banks lower after trading revenue warning
* Pfizer's revenue below expectations, shares fall
* Dow up 0.2 pct, S&P up 0.2 pct, Nasdaq up 0.3 pct
(Updates to afternoon)
By Caroline Valetkevitch
NEW YORK, May 5 U.S. stocks were up slightly on
Monday as concerns over an escalation of tensions between
Ukraine and pro-Russia separatists were offset by data showing
strength in the services sector.
The Institute for Supply Management said its services sector
index rose in April, hitting the fastest pace in eight months
and topping expectations.
Shares had opened lower, weighed by geopolitical events as
Ukrainian forces were ambushed by separatists on Monday,
triggering heavy fighting on the outskirts of the rebel
stronghold of Slaviansk, a day after a Ukrainian police station
in Odessa was stormed.
"We shook off a lot of the morning jitters, and the ISM
services came out and showed pretty good growth, and that
obviously brought back some buyers," said Ryan Detrick, senior
technical strategist at Schaeffer's Investment Research in
Still, bank shares were under pressure as JPMorgan Chase
fell 2.7 percent to $54.10. The bank said late on Friday
it expects second-quarter revenue from bond and equity trading
to decline by about 20 percent from a year earlier. The S&P
financial index fell 0.5 percent.
The Dow Jones industrial average rose 25.4 points or
0.15 percent, to 16,538.29, the S&P 500 gained 3.6 points
or 0.19 percent, to 1,884.74 and the Nasdaq Composite
added 12.957 points or 0.31 percent, to 4,136.854.
Energy shares were among the best performers, with the S&P
energy index up 0.5 percent.
Occidental Petroleum, the fourth-largest U.S. oil
and gas company, reported a better-than-expected profit for the
third straight quarter, helped by higher prices for crude oil
and natural gas in the United States. Shares rose 0.5 percent to
Pfizer Inc also lost ground. The biggest U.S.
drugmaker reported revenues well below analysts' expectations.
Shares fell 2.7 percent to $29.93.
Target Corp shares fell 3.2 percent to $60.05 after
news that Chief Executive and Chairman Gregg Steinhafel will
leave the company in the wake of a data breach late last year
that hurt profits, shook customer confidence in the No. 3 U.S.
retailer and prompted congressional hearings.
German aircraft seating maker Recaro said it was studying
the possibility of buying assets from B/E Aerospace
after the U.S. company announced a surprise review. B/E
Aerospace shares jumped 10.7 percent to $98.46.
(Additional reporting by Chuck Mikolajczak; Editing by
Bernadette Baum and Nick Zieminski)