07:43 AM EDT, 10/16/2025 (MT Newswires) -- US equity markets were trending higher before the opening bell Thursday as President Donald Trump reportedly said the US and China are in a trade war, while investors await the latest round of bank and corporate earnings.

The S&P 500 and the Dow Jones Industrial Average rose 0.3% each in premarket activity, while the Nasdaq added 0.5%. The S&P 500 and the Nasdaq finished Wednesday's trading session in the green, while the Dow closed slightly lower.

When asked by a reporter on Wednesday whether the US and China are heading for a prolonged trade war if they can't reach a deal, Trump replied, "Well, you're in one now," according to Bloomberg News.

US Treasury Secretary Scott Bessent reportedly said a tariff pause between the US and China could be extended for longer than three months if the Asian country agrees to withdraw export controls on rare earth elements. In August, Trump extended his tariff pause on China for another 90 days.

On Tuesday, Trump threatened to discontinue US purchases of cooking oil from China.The US could impose additional tariffs of 100% on Chinese goods, depending on how Beijing handles a dispute around rare earths, CNBC reported, citing US Trade Representative Jamieson Greer.

"Just when much of the investing public had pushed the tariff issue to the back burner, we received a harsh reminder that the (US) and China, the two biggest economies in the world by far, had yet to really nail down a solid trade deal that markets could count on going forward," Wells Fargo Investment Institute said in a Wednesday client note. "Financial markets are clearly sensitive to the ebb and flow of US and Chinese tariff standoffs and negotiations."

Treasury yields were down in premarket action, with the two-year rate retreating 1.1 basis points to 3.5%, and the 10-year rate off 2.1 basis points to 4.02%.

Charles Schwab ( SCHW ) , Marsh & McLennan ( MMC ) , Bank of New York Mellon ( BK ) , US Bancorp ( USB ) , Infosys ( INFY ) , Travelers (TRV), M&T Bank ( MTB ) and Snap-On (SNA) are expected to release their latest quarterly results before the bell, among others. Interactive Brokers ( IBKR ) and CSX (CSX) post earnings after the markets close.

Taiwan Semiconductor Manufacturing's ( TSM ) US-listed shares increased 1.7% pre-bell as the company reported better-than-expected quarterly results. Salesforce ( CRM ) gained 6.4% after the company said it aims to achieve more than $60 billion in revenue by fiscal 2030, excluding Informatica.

United Airlines (UAL) decreased 1.4% as the air carrier missed revenue estimates for the third quarter. J.B. Hunt Transport Services (JBHT) shares jumped 13% as the transportation and logistics company recorded an unexpected year-over-year increase in its third-quarter earnings.

The US federal government shutdown entered its 16th day on Thursday, with the stoppage likely to delay the release of key economic data originally scheduled for today, including September's producer price and retail sales reports and the weekly jobless claims bulletin.

US economic activity was little changed since early September as prices increased further, while labor demand was "generally muted," the Federal Reserve said in its latest Beige Book released Wednesday.

Fed Vice Chair of Supervision for Michelle Bowman and Governors Christopher Waller, Michael Barr and Stephen Miran are scheduled to speak on Thursday, along with Richmond Fed President Thomas Barkin and Minneapolis Fed President Neel Kashkari.

The Philadelphia Fed manufacturing index for October posts at 8:30 am ET, followed by the housing market index for the same month at 10 am. The weekly EIA domestic petroleum inventories report is due at 12 pm.

West Texas Intermediate crude oil edged up 0.4% to $58.48 a barrel before the open. Gold moved 1.3% higher to $4,254 per troy ounce, while bitcoin slipped less than 0.1% to $111,331.