Germany is about to enter what its next chancellor, Friedrich Merz, calls a historic “whatever it takes” moment of significant fiscal expansion to ramp up military spending and boost its economy, which is denting the appeal of the U.S. dollar and long-dated Treasurys.

Following President Donald Trump’s

contentious meeting with Ukrainian President Volodymyr Zelensky last Friday, Europe’s largest economy is set to rearm itself. The plan, backed by the two political parties that will form Germany’s next government, involves loosening restrictions on borrowing that would enable the country to access as much as roughly 1 trillion euros (equivalent to $1.08 trillion).

Investors should brace for a high-stakes day for the markets Friday, with a critical update on the employment front and a midday speech from Federal Reserve Chair Jerome Powell on deck.

The jobs report for February follows

a big drop in consumer confidence at the start of President Donald Trump’s second term, as well as growing concern about the economic toll of an accelerating trade war.

Nvidia Corp.’s stock was among the many semiconductor stocks moving lower in Thursday morning action, in the wake of Marvell Technology Inc.’s earnings report which has put

a further dent in the artificial-intelligence trade.

About three months back, Marvell MRVL appeared to cement itself as an AI darling, thanks in part to a multiyear contract with Amazon.com Inc. that some analysts thought would set the company up on a much better growth path. With that backdrop, hopes were high heading into Marvell’s report, and the company’s slim beats with its results and outlook weren’t enough for Wall Street.

Space-exploration company Intuitive Machines Inc. is set to make its second moon landing, with its uncrewed Nova-C lander, called Athena, expected to reach the lunar surface Thursday afternoon.

The company’s

LUNR stock, which has risen 175.6% in the last 12 months, is down 2.9% in premarket trades. 

Macy’s stock was down 4% in premarket trading on Thursday after the retailer issued a profit warning as it faces “external uncertainties” amid turnaround efforts.

Macy’s

M said its lower-than-expected earnings expectations for the first quarter and full year reflect an unclear immediate future for customers and its core nameplate retail brands including Macy’s, Bloomingdale’s and Bluemercury.