PRECIOUS-Gold steady before US jobs data, 2nd wk of gains likely

* Some worry better-than-expected numbers could hit gold
demand
* Strong dollar after central bank easing pressures gold
* Spot gold may fall to $1,586/oz -technicals
* Coming Up: U.S. June non-farm payrolls; 1230 GMT

(Updates prices)
By Rujun Shen
SINGAPORE, July 6 (Reuters) - Gold remained on track for a
second straight week of gains on Friday, though it was little
changed from the day before as investors waited for more U.S.
jobs data to help gauge the health of the world's top economy
and provide trading cues.
Some traders said Thursday's private U.S. employment data
indicated that key non-farm payroll numbers on Friday could also
be robust, dampening hopes for further easing by the Federal
Reserve and hurting appetite for commodities.
"People are concerned that tonight's non-farm payrolls
figures might be better than expected, which will decrease the
chances of quantitative easing by the Fed - bad news for gold,"
said Yuichi Ikemizu, head of commodity trading, Japan, Standard
Bank.
A series of central bank rate cuts on Thursday only served
to stoke investor fears about global economic growth, with a
stronger dollar in reaction to a move by the European Central
Bank putting a damper on gold prices.
The dollar index gained more than 1 percent - its
biggest daily rise in nearly eight months - in the previous
session, while the euro struggled near five-week lows against
the greenback.
Spot gold was little changed at $1,603.75 an ounce by
0628 GMT on Friday, on course for a weekly rise of 0.4 percent.
The U.S. gold futures contract for August delivery
edged down 0.3 percent to $1,604.10.
Technical analysis suggested that spot gold could fall to
$1,586 an ounce during the day, said Reuters market analyst Wang
Tao.

Thursday's data showed that U.S private employers stepped up
hiring in June and the number of Americans filing new claims for
jobless benefits last week fell by the most in two months,
hopeful signs for the struggling labour market.
The physical bullion market remained subdued, with buyers
sidelined after prices rose above $1,600 and potential sellers
eyeing $1,620 or above, dealers said.
"The current price level isn't attractive enough to lure
buyers back," said Peter Tse, director at ScotiaMocatta in Hong
Kong, adding that jewellers were likely to enter the market if
prices dropped to $1,550 to $1,560.
Most Asian currencies were on the defensive against the
dollar, which diminishes the purchasing power of buyers holding
these currencies, he added.

Precious metals prices 0628 GMT
Metal Last Change Pct chg YTD pct chg Volume
Spot Gold 1603.75 -0.58 -0.04 2.55
Spot Silver 27.67 0.01 +0.04 -0.07
Spot Platinum 1466.25 -2.93 -0.20 5.26
Spot Palladium 578.48 -2.30 -0.40 -11.34
COMEX GOLD AUG2 1604.10 -5.30 -0.33 2.38 9282
COMEX SILVER SEP2 27.66 -0.02 -0.06 -0.93 2916
Euro/Dollar 1.2382
Dollar/Yen 79.82
COMEX gold and silver contracts show the most active months

(Editing by Clarence Fernandez)