LONDON (AFP) - The dollar rose sharply against the euro and yen on Monday after the weekend`s meeting of Group of Seven finance ministers produced no surprises, analysts said.
The single European currency fell to 1.2275 dollars from 1.2411 late on Friday in New York.
The dollar edged up to 111.07 yen from 110.52 on Friday.
"With the G7 statement being broadly unchanged compared to the wording set out in February`s Boca Raton (Florida) meeting, the dollar has staged a minor relief rally against the major currencies," said ABN Amro analyst Paul Mackel.
"With G7 event risk having now passed, we expect the market to re-direct its attention back towards the dollar`s fundamentals."
In particular, the absence of any immediate commitment by China to review its policy of pegging the yuan to the dollar gave the dollar no momentum to break out of its trading range against the euro, economists said.
The G7 statement reaffirmed that exchange rates should reflect fundamentals and reiterated that high oil prices pose a risk to the global economy.
"All in all, a fairly muted G7 statement and unlikely to be a significant driver for currency markets in the sessions ahead," Dresdner Kleinwort Wasserstein analysts said.
Dealers were turning their attention to another flurry of US economic numbers this week, starting with factory orders on Monday, followed by a services survey on Tuesday and monthly employment figures on Friday.
US government figures released Monday showed orders for US-made factory goods unexpectedly slipped in August as demand for new civilian aircraft plunged. However, the data had little impact in the currency markets.
Payroll figures will provide some indication of whether or not the US economic recovery is on track, but the data is notoriously difficult to predict and is likely to leave the market cautious in the run-up to their release, analysts said.
A series of interest rate decisions are also this week including announcements in the eurozone and Britain on Thursday.
Neither are expected to result in any change, however, and focus is likely to centre on the European Central Bank`s accompanying press conference.
The euro was changing hands at 1.2275 dollars against 1.2411 late on Friday in New York, 136.34 yen (137.19), 0.6885 pounds (0.6897) and 1.5536 Swiss francs (1.5513).
The dollar stood at 111.07 yen (110.52) and 1.2655 Swiss francs (1.2495).
The pound was at 1.7829 dollars (1.7991), 198.03 yen (198.88) and 2.2566 Swiss francs (2.2480).
On the London Bullion Market, the price of an ounce of gold stood at 412.55 dollars against 418.10 late on Friday.