US STOCKS-Wall St set to dip at open after payrolls report
* Payrolls data weaker than expected
* Gap shares fall on weak August same-store sales
* Prana Biotech jumps on orphan drug designation
* Futures: Dow off 35 pts, S&P off 3.25 pts, Nasdaq up 2.75 (Adds jobs data, quote; updates prices)
By Chuck Mikolajczak
NEW YORK, Sept 5 (Reuters) - U.S. stocks were poised to dip slightly at the open on Friday following a weaker-than-expected payrolls report which allayed investor concerns of an imminent interest rate hike by the Federal Reserve.
Futures pared losses after the release of the employment report, which showed nonfarm payrolls rose 142,000 in August, the smallest increase in eight months, while the unemployment rate slipped to 6.1 percent as people dropped out of the labor force.
The soft jobs report doused worries that the Fed might consider moving up plans for an interest rate hike at its next meeting in mid-September after a recent flurry of economic data pointed to a strengthening economy.
"It's a little bit of a surprise coming in this low, and the market is probably taking that as a fairly good sign that the Fed remains to the sidelines here for a little bit longer," said Sean Lynch, managing director of global equity and research strategy, Wells Fargo Private Bank in Omaha, Nebraska. Continuación...