UPDATE 5-Oil falls to five-month low after U.S. jobs data

* U.S. jobs figures disappoint markets

* Brent crude oil futures lowest since November

* Biggest weekly drops in oil futures since September

* Korean tensions, Iran nuclear talks eyed

LONDON, April 5 (Reuters) - Brent crude oil fell to a five-month low near $105 per barrel on Friday as bleak U.S. jobs data and bulging inventories dimmed the outlook for economic growth and fuel demand.

U.S. employers hired at the slowest pace in nine months in March, jobs data showed, a sign that Washington's austerity drive could be stealing momentum from the economy.

The U.S. economy added just 88,000 jobs last month and the jobless rate ticked a 10th of a point lower to 7.6 percent, largely due to people dropping out of the workforce, Labor Department figures showed.

A Reuters poll had predicted a 200,000 increase in U.S. jobs last month, down from 236,000 in February.

Oil was set for its worst week for more than six months with Brent down 4.4 percent and U.S. crude off 5.0 percent.

Brent crude fell $1.44 to a low of $104.92, its lowest since Nov. 5, before recovering slightly to trade around $105.20 by 1250 GMT. U.S. crude dropped $1.35 to a low of $91.91.

Data from top oil consumer the United States has disappointed all week with weaker-than-expected growth in manufacturing, private sector hiring and employment. A surge in U.S. crude inventories to the highest since 1990 has further pressured prices.

"Commodity markets are telling us the real story, and that is there is simply no demand out there," said Jonathan Barratt, chief executive of commodity research firm Barratt's Bulletin.

Oil and commodities markets started 2013 in a buoyant mood on hopes of a sharp revival in global economic activity.

However, this optimism faded through the first quarter as data showed slower-than-expected growth in emerging economies, deepening recession in parts of Europe and a tepid expansion in the United States.

Even an aggressive move by the Bank of Japan to pump more than $1.4 trillion into the economy in less than two years failed to lift investor confidence.

OPEC

Abdallah Al-Badri, Secretary General of the Organization of the Petroleum Exporting Countries, said on Thursday oil prices were at a comfortable level for both producers and consumers.

But Badri told an oil conference in Paris that "if prices fall below certain levels, then many investors will find their developments no longer viable".

Analysts say OPEC could be forced to act if oil prices drop much further.

"At some point, OPEC will have to do something if prices fall below $100," said Carsten Fritsch, senior oil analyst at Germany's Commerzbank. "OPEC would either have to cut output, or at least, not increase production as they have been planning."

Investors also kept a wary eye on escalating tensions on the Korean peninsula and a standoff between Iran and the West over Tehran's disputed nuclear programme.

World powers met on Friday in the Kazakh city of Almaty to urge Iran to accept their offer to ease some economic sanctions if it ceases its most sensitive nuclear work.

Although there is little chance of a breakthrough, the six powers, the United States, Russia, China, France, Britain and Germany, will be mindful of Israel's impatience with the current diplomatic efforts.

Investors are worried about risks from North Korea since it decided to ban entry to workers from the South to their joint industrial complex, and Washington made military moves and remarks showing that it takes Pyongyang's threats to attack the United States seriously.