Pound bounces off 2 1/2-yr low vs dlr after US jobs

* Sterling jumps on broad dollar weakness after jobs data

* Traders cover short pound positions after this week's fall

* Pound to stay weak on UK economy, rate outlook

LONDON, Sept 5 (Reuters) - Sterling rose across the board on Friday, boosted by broad losses in the dollar after a jump in the U.S. unemployment rate fuelled nagging worries on the state of the world's biggest economy.

The UK currency pulled back from a 2 1/2-year low against the dollar hit earlier in the day, but sentiment remained downbeat on a view that the domestic economy is deteriorating fast and raising the chances of monetary easing this year.

The dollar was slammed on Friday after the U.S. unemployment rate unexpectedly shot up to a near five-year high of 6.1 percent in August, prompting traders to adjust short sterling positions after the currency's 2.5 percent fall this week.

"Sterling's jump was down to the jobs figures, and it was down to an adjustment of the extreme move we've seen this week," said Simon Derrick, head of currency research at Bank of New York Mellon.

On a trade-weighted basis, the pound fell to 87.9 <=GBP>, its lowest since October 1996, before pulling back to 88.4 later in the session.  Continued...