The dollar index declined more than 1% last week, its heaviest fall since mid-July and hit a six-week low. World stocks (.MIWD00000PUS) too had their strongest week in a year as expectations the Fed was done raising rates gathered steam. "So it's good then there is expectation for the Fed and other central banks to end the rate hike cycle sooner." Treasury yields slumped last week after softness in U.S. jobs and manufacturing data and after Fed Chair Jerome Powell spoke of 'balanced' risks. The drop in the dollar and yields helped underpin gold at $1,984 , within striking distance of the recent five-month peak of $2,009.

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Persons: Dado Ruvic, Tina Teng, Jerome Powell, Teng, Shri Navaratnam, Simon Cameron, Moore, Lincoln Organizations: REUTERS, Rights, U.S, Federal, Aussie, CMC Markets, J.P.Morgan Securities, Treasury, European Central Bank, Bank of, CMC, Bank of Japan, Sterling, Thomson Locations: Rights SINGAPORE, Auckland, China, U.S, Bank of England, bitcoin