NEW YORK (CNN/Money) - Stocks looked set to open lower Friday after a government report showed the number of jobs created last month was less than expected.

U.S. stock futures were down and a comparison to fair value indicated a lower opening for stocks.

The Labor Department said 56,000 people were added to the payrolls in October and that the unemployment rate dipped to 5 percent.

Economists surveyed by Briefing.com forecast a 100,000 gain, following a 35,000-job decline in September due to the impact of Hurricane Katrina. The unemployment rate was forecast to remain at 5.1 percent.

Gina Martin, economist with Wachovia Securities, said that a couple of weeks ago, stocks might have sold off in case of either a weaker or stronger than expected jobs report, as a bigger than expected jump in employment would prompt fears about further Federal Reserve rate hikes. But she said that stock investors seem to be more willing to look for reasons to rally.

"I think we saw that yesterday with (Federal Reserve Chairman Alan) Greenspan's comments," she said. "Bonds sold off because all the bond traders heard was 'inflation, inflation inflation.'" she said. "But stocks rallied on his outlook for solid growth."

Still Martin said prior to the announcement that a weaker-than-expected number will feed into recent nervousness a slowing economy that has been fed by a series of fourth quarter guidance warnings.

Oil prices fell in early trading following Thursday's rally that took prices up $2 a barrel.

The December light crude futures contract for NYMEX lost 58 cents to $61.20 a barrel in electronic trading, while the December contract for Brent crude fell 61 cents to $59.91.

Major markets in Asia closed mostly higher Friday, with Japan's benchmark Nikkei closing above the 14,000 level for the first time since 2001. Major European markets were little changed in early trading.

Treasury prices turned higher, lowering the yield on the 10-year note to 4.63 percent from the 4.65 percent level late Friday. The dollar gained ground against on the euro and the yen.

For a more detailed look at the markets before the open, click here.