The dollar strengthened against the pound on Friday after Reuters reported a source close to French President Emmanuel Macron said an extension to the negotiations for Britain's exit from the European Union was not justified at this stage.

"France wants a justified and proportionate extension. However, we have nothing of the sort so far. We must show the British that it is up to them to clarify the situation and that an extension is not a given," the source told Reuters.

Against the pound, the dollar was up 0.29% to $1.281. Since hitting a 5-1/2-month high on Monday, sterling has fallen nearly 1.5% after Prime Minister Boris Johnson's timetable to pass legislation that would withdraw Britain from the EU was rejected by the British parliament, the reason for the requested extension.

On Thursday, Johnson called for a general election on Dec. 12 in an effort to break the political deadlock over Brexit.

Despite the uncertainty, the pound's fall has been limited since the chance of a no-deal exit has been all but eliminated. The pound remains up 4.34% this month. Against the euro, it was down 0.17% to 86.55 pence per euro.

The single currency was last down 0.14% against the dollar to $1.109.