PRECIOUS-Gold set for biggest drop in month, payrolls eyed

* Sharp drop in crude oil, weak US service data weigh
* Gold could test below $1,600 on strong jobs data-trader
* Coming up: U.S. April nonfarm payrolls Friday


By Frank Tang and Jan Harvey
NEW YORK/LONDON, May 3 (Reuters) - Gold fell more than 1
percent on Thursday as tumbling crude oil prices and weak U.S.
service-sector data sent bullion prices toward their biggest
one-day drop in a month ahead of a key U.S. nonfarm payrolls
report.
The metal, which for most of the year

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