In a bowl, combine flour, granulated sugar, and salt.
In a small bowl, dissolve the yeast in warm milk and let sit for 5-10 minutes.
Add the melted butter and yeast mixture to the dry ingredients, mixing until a dough forms.
Cover the dough with a clean cloth and let it rise in a warm place until doubled in size, about 1 hour.
While the dough rises, prepare the apple mix: toss diced apples with cinnamon, nutmeg, and brown sugar.
Punch down the risen dough and divide it into small pieces, then roll each piece into a ball.
Dip each ball in melted butter, then roll in the apple mixture before placing in a greased bundt pan.
Cover the bundt pan with a cloth and let it rise again for about 30 minutes.
Preheat your oven to 350°F (175°C).
Bake for 30-35 minutes until golden brown and cooked through.
Allow the monkey bread to cool for 10 minutes before inverting onto a serving plate.
Dust with powdered sugar before serving, if desired.