PRECIOUS-Gold holds firm after Fed's bumper rate cut

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Bullion rose to record high of $2,599.92 on Wednesday

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U.S. jobless claims data due at 1230 GMT

(Adds comments, update prices and graphics)

By Daksh Grover

Sept 19 (Reuters) - Gold prices rose on Thursday after hitting a record high in the previous session, as the U.S. Federal Reserve delivered a super-sized interest rate cut.

Spot gold rose 0.5% to $2,571.40 per ounce, as of 0543 GMT after scaling a record high of $2,599.92 on Wednesday.

U.S. gold futures edged 0.1% down to $2,595.90.

The Fed kicked off with a larger-than-usual 50-basis-point reduction on Wednesday that Chair Jerome Powell said was meant to show policymakers' commitment to sustaining a low unemployment rate now that inflation has eased.

Powell, however, said the economy remained strong, with many job market indicators including unemployment claims and even the current 4.2% unemployment rate not being at worrying levels.

"Gold prices are idling near yesterday's closing price as markets digest the seesaw volatility in the wake of the Fed rate decision," said Ilya Spivak, head of global macro, Tastylive.

Zero-yield bullion tends to be a preferred investment in a lower interest rate environment and during geopolitical turmoil.

Traders are currently anticipating a nearly 66% chance of a 25 bp reduction at Fed's November meet and a 34% chance of a 50-bp cut, according to the CME FedWatch tool.

"Gold is likely to reach new highs between $2,640 and $2,700 this year. Softening economic data could be catalysts for higher gold prices," said Kelvin Wong, OANDA's senior market analyst for Asia Pacific.

Market will also keep a tab on the initial U.S. jobless claims data, which is due at 1230 GMT.

On the geopolitical front, Hezbollah devices exploded again in Lebanon on Wednesday, stoking tensions of wider a Middle-East conflict, a day after similar explosions of the group's pagers.

Among other metals, spot silver rose about 2% to $30.67 per ounce, platinum climbed 1.2% to $980.40 and palladium gained 0.48% to $1,067.00.

(Reporting by Daksh Grover and Ashitha Shivaprasad in Bengaluru; Editing by Subhranshu Sahu and Rashmi Aich)