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You will need to check the compression on #5. The p1310 is not cat converter related, but you should find someone with a VOL-FCR code reader to find the Volvo specific code. I am betting that the misfire generated the P1310.
Get a small flashlight with a tight beam and shine it down the spark plug hole. If the chamber is real clean, it may be a leaking head gasket. A compression test will confirm/deny that.
You got new plugs, what kind are they? You need copper plugs in the turbo gapped to .028
You might want to swap plugs, #5-#4 and see if the misfire code changes to P0304.
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