We study spin liquid in the frustrated diamond lattice antiferromagnet CoAl2O4 by means of single crystal neutron scattering in zero and applied magnetic field. The magnetically ordered phase appearing below TN=8 K remains nonconventional down to 1.5 K. The magnetic Bragg peaks at the q=0 positions remain broad and their profiles have strong Lorentzian contribution. Additionally, they are connected by weak diffuse streaks along the directions. These observations are explained within the spiral spin liquid model as short-range magnetic correlations of spirals populated at these finite temperatures, as the energy minimum around q=0 is flat and the energy of excited states with q=(111) is low. The agreement is only qualitative, leading us to suspect that microstructure effects are also important. Magnetic field significantly perturbs spin correlations. The 1.5 K static magnetic moment increases from 1.58 mB/Co at zero field to 2.08 mB/Co at 10 T, while the magnetic peaks, being still broad, acquire almost Gaussian profile. Spin excitations are rather conventional spin waves at zero field, resulting in the exchange parameters J1=0.92(1) meV, J2=0.101(2) meV and the anisotropy term D=-0.0089(2) meV for CoAl2O4. The application of a magnetic field leads to a pronounced broadening of the excitations at the zone center, which at 10 T appear gapless and nearly featureless.