The dollar recovered from a two-week low against a basket of six major currencies on Monday, though trade was thin due to many markets being closed for the New Year holiday.

The greenback soared to 14-year highs in December, boosted by market expectations that the U.S. Federal Reserve will hike rates as many as three times this year, and that President-elect Donald Trump will stoke growth and inflation with a program of fiscal expansion.

The USD finished the year with an almost 4 percent annual rise, the fourth consecutive year of gains.

But the index that measures the currency against six major rivals lost more than 1 percent during the last three days of last week. Its weakness exacerbated on Friday during a flash surge for the euro in low volumes of trading in Asia.

The EUR jumped two full cents to as high as $1.07, before quickly retreating, prompting analysts to draw parallels with a "flash crash" in October that briefly knocked almost 10 percent off the value of Britain's pound.

The euro edged down on Monday to $1.0513, while the dollar index climbed quarter of a percent to 102.43, close to the 14-year peak of 103.65 it touched on Dec. 30.

Data released on Friday showed speculators once again taking a bullish stance on the dollar, increasing their bets in the week up to last Tuesday after cutting their long positions for the first time since October in the previous week.