U.S. stocks were set for a lower open on Friday as proposed sweeping restrictions on U.S. banks and the delayed confirmation of Fed Chairman Ben Bernanke unnerved investors after a 10-month rally.

On Thursday, U.S. President Barack Obama threatened to rein in Wall Street banks with proposals to limit financial risk taking.

The U.S. Senate will not vote this week on whether to confirm the Federal Reserve chairman for a second four-year term, Democratic aides said, leaving little time before his current term expires.

It's really the uncertainty at this point, Doug Roberts, chief investment strategist at Channel Capital Research in Shrewsbury, New Jersey.

This may be just a shorter-term pullback. Usually markets don't go straight over a cliff, but we have to see if this is something more.

General Electric Co shares advanced 3 percent to $16.50 in premarket trade after reporting earnings that topped expectations.

McDonald's Corp edged up 0.2 percent to $63.35 after it posted higher quarterly profit and said global comparable sales increased 2.3 percent.

S&P 500 futures dipped 2.2 points and were below fair value, a formula that evaluates pricing by taking into account interest rates, dividends and time to expiration on the contract. Dow Jones industrial average futures dropped 15 points, but Nasdaq 100 futures added 4.25 points.

Recent declines have sent the Dow into negative territory for the new year, while the S&P 500 holds a slim 0.1 percent gain.

Schlumberger Ltd , shed nearly 1 percent to $67.73 in light trade after the world's largest oilfield services company reported higher-than-expected quarterly earnings and said oil producers were likely to start boosting spending on new projects.

Google Inc was among the first technology companies to shake off the recession last year, but the Internet giant's fourth-quarter report after the close Thursday could not satisfy investor demand for stronger growth. Google shares fell 3.5 percent to $562.52 premarket.

American Express Co shed 1.9 percent to $41.35 after the company reported better-than-expected quarterly earnings late Thursday, but is concerned about the growth outlook for credit cards.

(Editing by Jeffrey Benkoe)

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