Preheat oven to 350°.
Lightly spoon flour into a dry measuring cup; level with a knife. Combine flour, baking powder, salt, and cloves in a bowl, stirring with a whisk. Combine 2/3 cup granulated sugar and next 5 ingredients (2/3 cup granulated sugar through egg) in a large bowl; beat with a mixer at medium speed until blended.
Add flour mixture and milk alternately to sugar mixture, beginning and ending with flour mixture. Pour batter into a 9-inch round cake pan coated with cooking spray.
Combine almonds and 2 tablespoons granulated sugar; sprinkle over batter. Arrange cherries on top. Bake at 350° for 50 minutes or until a wooden pick inserted in center comes out clean. Cool in pan 10 minutes on a wire rack; remove from pan. Sift powdered sugar over top of cake.