Four of the eight major currencies opened the US session of the global Forex market today, Monday, incurring varying losses amid an increase in market risk appetite.

The Swiss franc topped the losers, followed by the US dollar, then the New Zealand dollar, and finally the Japanese yen which incurred the least losses.

The losses of the four currencies ranged between 1.27% and 3.48%, and below are the reasons behind the losses of each of these currencies individually:

The Swiss franc leads the loss scene

The Swiss franc incurred heavy losses in the currency market during today's trading, opening the US session down by 3.48%.

The significant losses of the Swiss currency are driven by the sharp increase in market risk appetite, with investors flocking to high-risk assets such as stocks at the expense of the Swiss franc.

The US dollar is the second currency to incur losses

The US dollar opened the US session as the second most losing currency, continuing to expand its losses, declining by about 2.26%.

The significant decline in the greenback is driven by statements by Federal Reserve member Christopher Waller at the end of last week regarding his preference for a modest interest rate hike and settling for 75 basis points.

Investors await the interest rate decision to be issued by the US Federal Reserve in the middle of next week, which is expected to include a 75 basis point increase in an attempt to control runaway inflation in the United States.

The New Zealand dollar is the third losing currency

The New Zealand currency came down clearly at the start of the US currency market session, opening the session down by 1.64% against other currencies, after managing to achieve some profits only against the Swiss franc and the US dollar.

This decline in the New Zealand kiwi comes despite positive news in China following the release of high inflation data in New Zealand.

The Japanese yen trails the losing currencies

The Japanese currency declined clearly after its slight gains in recent sessions, opening the US Forex session down by about 1.27%.

This decline in the value of the Japanese yen is driven by the significant increase in market risk appetite and investors' reluctance to invest in safe-haven currencies, among which is the Japanese yen.

Also supporting the weakness of the Japanese currency is the Bank of Japan's continued adoption of its accommodative monetary policy to support the country's economy, which has not fully recovered from the repercussions of the pandemic lockdowns yet.