• The Indian Rupee edges lower in Wednesday’s Asian session. 
• Persistent USD demand from importers weighs on the INR, while lower crude oil prices might limit its losses. 
• Advanced August PMI data from India and the US will be released on Thursday. 

The Indian Rupee (INR) weakens on Wednesday and remains the worst-performing Asian currency in August due to trade deficits and persistent USD demand from importers. Any significant weakening of INR is likely to be limited amid the possible intervention from the Reserve Bank of India (RBI) that might sell USD to prevent local currency from breaching the critical 84.00 mark. Additionally, the extended fall in crude oil prices might support the local currency in the near term.

Traders will monitor the preliminary of the Indian August HSBC Purchasing Managers Index (PMI) on Thursday for fresh impetus. The highlight this week will be Federal Reserve (Fed) Chair Jerome Powell at Jackson Hole on Friday. There is growing speculation that Powell will signal a potential interest rate cut in this event, which could exert some selling pressure on the Greenback.