The Australian dollar on Friday strengthened against the greenback, also helped by firmer commodity prices.

At 07:00 local time (AEDT), the local unit was trading at 76.82 U.S. cents, up from 76.68 U.S. cents on Thursday.

Commonwealth Bank of Australia's senior currency Elias Haddad said the Australian dollar firmed a bit towards 76.88 U.S. cents on a weaker U.S. dollar and modestly higher iron ore prices.

"Australian dollar will be somewhat driven today by the RBA's (Reserve Bank of Australia's) statement on Monetary Policy and the September retail sales data," Haddad said.

At 0921 local time (AEDT), the Australian dollar was trading at 76.82 U.S. cents.