Gold is hovering at a two-week high as a dollar turns cautiously lower ahead of crucial US non-farm payroll data later in the global day. Dollar index futures are at a lingering at a three-week low of 104.68. However, the yellow metal is staying along the flat line at $2368.30 an ounce. Meanwhile, the Labor Department released a separate report showing a modest increase by first-time claims for U.S. unemployment benefits in the week ended June 29th. The report said initial jobless claims rose to 238,000, an increase of 4,000 from the previous week's revised level of 234,000. ISM said its services PMI slid to 48.8 in June from 53.8 in May, with a reading below 50 indicating contraction.