Drag and Drop behaviour has certainly changed in OSX Monterey 12.0.1

 The Drag and Drop behaviour has certainly changed in Monterey most noticeably in the "Grab and drop" actions.

Factors that demonstrate this issue are:

• Using list or column view for folders - The select, drag and drop action works, in the same folder with same files when in Icon or preview view modes.
• Using a trackpad does not work but a magic mouse does work. You can have both plugged in at the same time and see the different behaviours.
• Accessibility options for pointer System preferences -> Accessibility -> Pointer control -> Trackpad options -> Enable Dragging
• Drag to move action seems to be a bit intermittent, sometimes works sometimes not.

Note that under "Pointer control" there are sub options "Trackpad options" and Mouse Options but only under trackpad is there an option to Enable Dragging. The Enable dragging choice has With drag lock, Without drag lock and Three finger drag.

Setting The enable dragging choice to Three fingers just upsets Mission control Desktop management. Enable dragging with drag lock seems to work best.

Workaround

When using a trackpad in list or column mode, after selecting the files to move briefly push [alt] key to grab and move the files. The [alt] key will trigger the "copy files on move" action but if you release the alt before dropping the files the action reverts to a move rather than copy (when moving with in the same disk volume).

Other folks have reported that switching off force and Septic feedback fixes this behaviour.

Set the Trackpad option to enable dragging.

Mouse option

Context is Monterey on a Mac mini 2020 and seen on Mac book Air M1.