PRECIOUS-Gold dips as dollar holds firm; U.S. jobs data awaited

(Adds comments, details and updates prices)
* U.S. weekly jobless claims data due at 1230 GMT
* World Bank, IMF back debt relief for developing nations
* Interactive graphic tracking the global spread- open https://tmsnrt.rs/3aIRuz7
in an external browser

By Shreyansi Singh
April 2 (Reuters) - Gold prices dipped on Thursday as the
dollar held firm, while investors awaited key U.S. jobless data
amid mounting signs of a recession due to the worsening
coronavirus outbreak.
Spot gold XAU= fell 0.3% to $1,586.24 per ounce by 0640
GMT, after rising 1.2% on Wednesday. U.S. gold futures GCcv1
rose 0.6% to $1,600.20 per ounce.
The metal "is primarily in a consolidation phase more than
anything else and is not likely to move much until U.S. jobs
data comes in," said Avtar Sandu, a senior commodities manager
at Phillip Futures, adding that the dollar weighed on the
market.
The greenback held onto overnight gains as investors rushed
to the security of the world's most liquid currency. USD/
The metal is taking cues from other markets in the short
term, but "fundamentals are still supportive in the long run"
amid quantitative easing and lower interest rates, Sandu said.
Factories fell quiet across much of the world in March, with
sharp slowdowns in Germany and Japan overshadowing a modest
improvement in China. Gold is considered an attractive investment during times of
economic uncertainty, and lower interest rates reduce the
opportunity cost of holding the non-yielding bullion.
The World Health Organization's director-general, Tedros
Adhanom Ghebreyesus, said on Wednesday that his agency, the
World Bank and the International Monetary Fund backed debt
relief to help developing countries cope with the pandemic's
social and economic consequences. Asian equities fell after a rise in the U.S. coronavirus
death toll, while investors braced for a spike in weekly U.S.
jobless figures due at 1230 GMT. MKTS/GLOB The number of Americans filing claims for unemployment
benefits likely shot to a record high for a second week in a row
as more jurisdictions enforced stay-at-home measures. Investors
also awaited U.S. non-farm payroll data due on
Friday. Gold saw mild profit-booking, but prices could spike if U.S.
employment data comes weak, said Jigar Trivedi, commodities
analyst at Anand Rathi Shares and Stock Brokers in Mumbai.
Holdings in SPDR Gold Trust GLD , the world's largest
gold-backed exchange-traded fund, rose 0.18% to 968.75 tonnes on
Wednesday, their highest since October 2016. GOL/ETF
The trust is likely to see further inflows until a vaccine
is found for the virus, which will take time, Trivedi added.
Palladium XPD= rose 4.2% to $2,308.41 per ounce, platinum
XPT= climbed 0.9% to $724.25 an ounce and silver XAG= gained
0.9% to $14.12 per ounce.