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Traders also bought the euro on strong manufacturing data from China.

Riskier currencies, such as the euro, tend to rise when traders think the economy is getting better.

The euro rose to $1.3060 from $1.2998 late Friday. It went as high as $1.3075, its highest point against the dollar since Oct. 23.

Greece says it will spend up to $13 billion in a bond buyback program to lower its national debt.

A survey by HSBC found that China's manufacturing activity rose for the first time in 13 months. Chinese manufacturing is closely linked with the state of the world economy.

The British pound rose to $1.6095 from $1.6022.

The dollar fell to 82.24 Japanese yen from 82.41 Japanese yen and to 0.9258 Swiss franc from 0.9274 Swiss franc.

The dollar rose to 99.46 Canadian cents from 99.31 Canadian cents.