The races play a part in the development of your main character and other characters that you can create in the Guild later.  They all have advantages and disadvantages to stats, so be sure to select the appropriate one when choosing what class you want that character to be.

A race with balanced characteristics.  Humans are suitable for any class, but do not have a high level of faith.
Power: 8 Life: 8
Wisdom: 8 Agility: 8
Faith: 5 Luck: 9
A race blessed with wisdom and faith.  Elves are weaker physically, but they are well suited for classes that require casting of spells.
Power: 7 Life: 6
Wisdom: 10 Agility: 9
Faith: 10 Luck: 6
A powerful race with strong faith.  Since Dwarves lack agility, rather than becoming a thief or a class that uses spells, they should select a class such as warrior, which involves fighting or using brute strength.
Power: 10 Life: 10
Wisdom: 7 Agility: 5
Faith: 10 Luck: 6
An agile race with high faith.  Gnomes are best suited to serve as priests.  However, since they are so skillful, they can belong to any class.
Power: 7 Life: 8
Wisdom: 7 Agility: 10
Faith: 10 Luck: 7

A race with uncommon agility and luck.  Instead of selecting a physical class for a Hobbit, it would be wisest to choose something that doesn't involve a great deal of strength.  Hobbits make perfect thieves.
Power: 5 Life: 6
Wisdom: 7 Agility: 10
Faith: 7 Luck: 15