The dollar hit a one-month high against a basket of major currencies on Monday after stronger-than-expected underlying U.S. inflation bolstered the Federal Reserve's case for an interest rate hike later this year.
Fed Chair Janet Yellen's comments that the central bank was poised to raise rates in 2015 also shored up sentiment towards the dollar, traders said.
Amid low volumes, with most of Europe as well as the United States shut for a holiday, the dollar index, which measures the greenback against other major currencies, was up 0.3 percent at 96.475, a one-month high.
The euro was softer, falling to a one-month low of $1.0959 in European trade, with some traders citing the victory by an anti-austerity parties in Spain as a factor. Worries that Greece cannot service debt repayments next month amid a cash crunch also weighed on the currency.