In New York earlier Monday the dollar gave up some of its gains, it has dropped back to day-earlier levels against the euro, but as investors continue to adjust positions it remained slightly stronger against the yen.

Euro had been as low as $1.4611

In early morning trading, the euro had been as low as $1.4611, but it had recovered most of those losses to trade toward the top of the day’s range.

According to EBS via CQG, late morning in New York, it has been noted that the euro was at $1.4694 from $1.4699 late Friday. Whereas the dollar was at Y91.90 from Y91.44. The euro was at Y135.06 from Y134.41. The U.K. pound was at $1.6228 from $1.6232, while the dollar was at CHF1.0313 from CHF1.0297.

Drop in Crude oil and Gold

On Monday risk appetite has waxed and waned. It has been noticed that Asian and European benchmark equity indexes were down, but the Dow Jones Industrial is retracing some of its earlier losses and is down about 35 points late morning. Crude oil has also dropped, below $70 a barrel. There has also been a decline in Gold, though it is above the $1,000 an ounce mark.

With markets in Japan, Singapore and several other Asian countries that closed Monday for holidays, the dollar took advantage of thin conditions and so it has pushed to an almost two-week high against the yen, although in morning trading it has given back some of those gains and remains in a tight range.

Meeting of the Federal Open Market Committee

Everyone is looking towards the  Wednesday’s meeting of the Federal Open Market Committee, at which it will be decided by time members whether to increase ultra-low U.S. interest rates. It is not anticipated that the FOMC will raise rates, though investors will be listening for any signals as to when the Fed will start tightening monetary policy.

Meeting of the Group of 20 nations

The Group of 20 nations meets on Thursday and Friday in Pittsburgh. It is not being expected that the group will specifically mention currencies, but it has been said by the analysts that discussion of new banking regulations could trigger a bout of risk aversion, leading investors into the safe-haven dollar.

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