07:30 AM EDT, 05/05/2025 (MT Newswires) -- The benchmark US stock measures were trending downwards before Monday's opening bell as investors gauge the latest developments in the ongoing trade tensions and await a key policy decision by the Federal Reserve later in the week.

The S&P 500 declined 0.8%, the Dow Jones Industrial Average decreased 0.7%, and the Nasdaq was off 0.9% in premarket activity. The indexes finished Friday's trading session higher, with the S&P 500 and the Dow extending their daily winning streak to a ninth consecutive session.

US President Donald Trump reportedly said on Sunday that the White House could finalize trade deals with some countries as soon as this week. Trump also signaled his willingness to lower tariffs on China.

"At some point, I'm going to lower them, because otherwise, you could never do business with them, and they want to do business very much," Trump reportedly said in a Sunday media interview. On Friday, a spokesperson for the Chinese ministry of commerce said the country is evaluating proposals from the US to begin negotiations on tariffs.

The two-year US Treasury yield was down 3 basis points to 3.81% in premarket action, while the 10-year rate remained unchanged at 4.32%.

The Fed's monetary policy committee is scheduled to meet Tuesday, with a decision on interest rates due Wednesday. Markets are widely expecting the central bank to hold the benchmark lending rate steady, according to the CME FedWatch tool. Investors will also keep an eye on commentary from Fed Chair Jerome Powell on Wednesday regarding the outlook for the economy amid uncertainties due to tariffs.

Trump on Friday once again urged the Fed to reduce interest rates. In a social media post, Trump said there's "no inflation" in the US, while employment is strong.

Last week, government data showed that the world's largest economy added 177,000 nonfarm jobs in April, above market expectations. The unemployment rate was steady at 4.2%, in line with the market view.

Monday's economic calendar has the April purchasing managers' index composite final report from S&P Global (SPGI) at 9:45 am ET, followed by the Institute for Supply Management's services index for the same month at 10 am.

Ares Management (ARES), Cummins (CMI), BioNTech (BNTX), Tyson Foods (TSN), Loews (L) and ON Semiconductor (ON) are some of the major companies reporting their latest financial results before the bell. Palantir Technologies (PLTR), Williams (WMB), Ford Motor (F) and Clorox (CLX) post earnings after the markets close.

West Texas Intermediate crude oil dropped 1.3% to $57.51 a barrel before the open. Eight members of the Organization of the Petroleum Exporting Countries, or the OPEC+, announced plans over the weekend to hike oil production by 411,000 barrels a day in June for the second consecutive month.

Gold rose 2.4% to $3,322 per troy ounce, while bitcoin declined 1.2% to $94,390.