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US policy is certainly hastening this change. In order to buy US government bonds and US stocks, investors need US dollars, but all these transactions involve a current account deficit in the US, which the Trump administration wants to eliminate. The current uncertainty of US trade policy is not making US assets more attractive, as the turmoil in US government bond market illustrates.

There is also a rumour that the US government might default by converting their short-run debt into long-run debt.

Beyond Trump, these past few months have shown investors that the checks and balances of the US constitution are not as strong as previously thought, and that the president has almost absolute power in some areas. The fact that Biden’s last act as US president was to pardon his family and potential political targets did not help foster trust in US governance either.

Realistically, global use of the euro will have to increase massively for it to replace the dollar anytime soon, but it seems much more likely now than it did three months ago.