Daily Morning Report 21.12.2016

The Australian held steady against its U.S. counterpart on Wednesday, while the New Zealand dollar moved higher although risk aversion following terrorist attacks in Ankara and Berlin continued to support demand for the greenback.

Market sentiment soured after Russian ambassador to Turkey, Andrei Karlov, was shot and killed at an art gallery in the Turkish capital of Ankara Monday evening.

A few hours later, a truck plowed into a crowded Christmas market in central Berlin, killing 12 people and injuring up to 50 others.

Meanwhile, the greenback remained broadly supported after the Federal Reserve concluded its policy meeting last week by raising interest rates by 25 basis points and projected three more rate hikes for 2017.

The U.S. dollar index, which measures the greenback’s strength against a trade-weighted basket of six major currencies, was down 0.14% at 103.13, just off Thursday’s fresh 14-year highs of 103.62.