Summary Dollar gained against other currencies even as analysts eyed prospect for more greenback weakness.
NEW YORK CITY (AFP) - The dollar Monday took a break from recent declines, strengthening against other major currencies even as analysts eyed the prospect for more greenback weakness later this week.
At 2200 GMT, the euro traded at $1.3787, down from $1.3801 Friday.
The dollar also advanced against the yen, buying 97.66 of the Japanese currency compared with 97.38.
The euro rose to 134.67 yen from 134.44.
The dollar has been trading near a two-year low against the euro in recent sessions and a one-year low against the Swiss franc.
The dollar weakness stems from confidence the US Federal Reserve will maintain its easy-money $85 billion per-month bond-buying program for a while longer. Prior to the Fed's September meeting, many analysts had expected the Fed to trim back the program in 2013.
Analysts expect the Fed will wind up its two-day policy meeting Wednesday again leaving the program unchanged. Many analysts expect there will be no taper until at least early 2014.
Despite Monday's dollar strength, "our broader bias remains for further modest weakness in the US dollar from current levels" given the "Fed's continued easy stance," said Nick Bennenbroek, head of currency strategy at Wells Fargo Securities.
Kathy Lien, managing director at BK Asset Management, warned that Tuesday's US retail sales report could signal further dollar weakness.
While the Fed is not expected to shift its monetary policy, "the central bank could downgrade its description of the economy, which would be enough to send the greenback to fresh lows," Lien said.
The British pound dipped to $1.6141 from $1.6155.
The dollar advanced to 0.8957 Swiss franc from 0.8920.
