The US dollar has weakened as increasing bets on potential rate cuts from the Federal Reserve put pressure on the DXY index. The upcoming key Consumer Price Index (CPI) and Producer Price Index (PPI) data are expected to significantly influence the trends of GBP/USD and EUR/USD this week.

Traders should focus on these economic announcements as they may provide critical insights into currency fluctuations. The analysis of these indicators will be essential in forecasting market movements in the context of ongoing Fed discussions.