Key points:
- Strong payrolls to challenge $2,300 level on downside -analyst
- U.S. non-farm payrolls data due on Friday
- Fed likely to cut rates twice this year, starting Sept -Reuters poll
Gold prices hit a two-week high on Thursday on signs of a cooling U.S. labour market, strengthening a case for a September interest rate cut by the Federal Reserve, while investors positioned for U.S. non-farm payrolls data.
Spot gold GOLD was up 0.2% at $2,359.80 per ounce as of 1102 GMT, after hitting a two-week high. It rose 1% on Wednesday.
U.S. gold futures 
GOLD rose 0.1% to $2,378.80.
“Gold is supported by expectations of a slowdown in the U.S. economy and a dovish central bank in the next few months,” Kinesis Money market analyst Carlo Alberto De Casa said.
“I don’t see another big rally because we already had one in the first part of the year. Yet the fact that gold is able to remain above…
