Earlier in the week, the dollar came under pressure against major currencies after the Federal Reserve held rates steady near zero percent, and the greenback slipped versus the yen when the Bank of Japan followed the Fed's decision with its announcement Wednesday that it will also leave interest rates unchanged.
What's moving the market: Investors were on edge following news Thursday that Greece may need to turn to the International Monetary Fund for aid if the European Union doesn't agree on a plan at next week's EU leaders' summit.
"The news flow on Greece continues to highlight the deadlock in Europe and increases the chances that the IMF will be forced to come in not only to shore up Greece but more importantly to respond to an impotent economic governance in the euro zone," said analysts at BNP Paribas in a research note. "Next week's European Summit is unlikely to provide constructive results."
With no major economic news released Friday, the dollar was also lifted by stocks, which snapped a winning streak as investors backed off from the recent run up.
Weaker equities tend to boost the dollar, as investors turn to the U.S. currency as a safe haven.
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