The European Central Bank (ECB) has indicated that a "fundamental regime shift" may be occurring in global financial markets as investors reassess the risk associated with U.S. assets. This shift is linked to recent U.S. fiscal policies and trade tariffs introduced under President Donald Trump's administration, which have challenged the longstanding dominance of the U.S. dollar as the world's primary reserve currency. Historically, U.S. Treasury securities and the dollar have been viewed as safe havens during crises, benefiting from what is known as the "exorbitant privilege" due to America's economic size. However, growing fiscal deficits and policy decisions are causing market participants to question this exceptionalism, leading to a failure in the U.S. dollar rally and reduced confidence in U.S. assets. Analysts and commentators, including Martin Wolf and others, note that while dissatisfaction with the dollar's hegemony exists, viable alternatives remain limited. The evolving situation suggests a potential reconfiguration of global currency and asset dynamics influenced by U.S. economic policy under Trump.