NEW YORK (AP) -- The euro is rising sharply against the dollar after a closely watched survey on German business confidence rose unexpectedly.

Germany's Ifo institute says its key business climate figure rose to 101.4 points in November from 100 in October. Economists expected a drop to 99.5.

Currency trading is light on Friday as many traders take a long weekend after Thanksgiving Day. The stock market will close early Friday, at 1 p.m. EST.

The euro rose to $1.2980 in afternoon trading from $1.2883. The British pound rose to $1.6042 from $1.5937.

The dollar fell to 82.32 Japanese yen from 82.43 yen, to 0.9273 Swiss franc from 0.9351 Swiss franc and to 99.17 Canadian cents from 99.75 Canadian cents.

Try any of our Foolish newsletter services free for 30 days. We Fools may not all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. The Motley Fool has a disclosure policy.