GBP/USD is doing some serious attempts for recapturing the round-level resistance of 1.2200 in the early European session. The major is oscillating in a narrow range of 1.2168-1.2203. The Cable is struggling to deliver decisive action and is showing a subdued performance as investors are awaiting interest rate decisions by the Federal Reserve (Fed) and the Bank of England (BoE), which will be announced on Wednesday and Thursday respectively.

S&P500 futures are displaying sheer volatility. The 500-US stocks basket has surrendered its entire gains generated in early Asia. It seems that UBS’s rescue plan for Credit Suisse has failed to cheer market participants. Credit Suisse shareholders were deprived of a vote on the deal and will receive one share in UBS for every 22.48 shares they own, valuing the bank at $3.15bn (£2.6bn), as reported by BBC News. Various central banks have come forward to provide liquidity assistance to rescue the second-largest Swiss bank in order to revive the confidence of consumers.

The announcement of liquidity assistance to revive the 164-year-old bank has impacted demand for US government bonds. The 10-year US Treasury yields have scaled above 3.42% as higher liquidity flush could propel inflationary pressures again.