07:26 AM EDT, 08/14/2025 (MT Newswires) -- US equity markets were trending lower before the opening bell Thursday as investors await last month's data on producer prices after a key consumer inflation report earlier in the week lifted expectations for a September rate cut by the Federal Reserve.

The S&P 500 and the Nasdaq declined 0.1% each in premarket activity, while the Dow Jones Industrial Average was slightly in the red. The indexes finished in the green for the second consecutive trading session on Wednesday, with the S&P 500 and the Nasdaq notching fresh record highs.

July's producer price index report, a measure of wholesale prices, is scheduled to be released at 8:30 am ET. The data comes after the Bureau of Labor Statistics reported earlier in the week that consumer inflation in the US slowed down last month on a sequential basis, while the annual core rate jumped above 3%.

The latest consumer price index report lifted expectations that the Fed will lower interest rates at its next meeting in September. Currently, markets are widely anticipating a 25-basis-point rate cut next month, according to the CME FedWatch tool.

There is "some momentum building" for a 50-basis-point cut, Lindsey Piegza, chief economist at Stifel, said in a Wednesday report. Treasury Secretary Scott Bessent reportedly said Wednesday that the US "could go into a series of rate cuts," beginning with a 50-basis-point reduction in September.

Treasury yields were down in premarket action, with the two-year rate retreating 1.1 basis points to 3.68% and the 10-year rate losing 2.3 basis points to 4.22%.

Thursday's economic calendar also has the weekly jobless claims bulletin at 8:30 am, while Richmond Fed President Thomas Barkin is slated to speak at 2 pm.

Shares of Cisco Systems ( CSCO ) declined 0.7% pre-bell even though the networking equipment maker's fiscal fourth-quarter results surpassed Wall Street's estimates. Deere (DE), NetEase ( NTES ) , JD.com ( JD ) , Tapestry (TPR) and Advance Auto Parts ( AAP ) release their latest financial results before Thursday's bell, among others.

Applied Materials ( AMAT ) is scheduled to post earnings after the markets close.

West Texas Intermediate crude oil increased 0.5% to $62.97 a barrel before the open. The International Energy Agency on Wednesday reduced its projections for global oil demand growth for 2025 and 2026, while raising its supply forecasts for both years. Commercial crude stockpiles in the US unexpectedly increased last week, government data showed Wednesday.

Gold slipped 0.1% to $3,404 per troy ounce, while bitcoin decreased 0.8% to $121,567.