The world reconsiders America

America is shedding its status as the default choice for foreign governments to park money, buy weapons and send students.

Why it matters: Even modest shifts away from the U.S. could chip away at advantages that have helped sustain American economic and geopolitical power for decades.

Driving the news: The Netherlands moved 86 tons of gold out of the U.S. and Canada last week, citing the move as a hedge against "extreme systemic risks." France already moved all of its gold out of New York, while Germany debated doing the same.

• Norway's sovereign wealth fund — the world's largest — announced plans to reduce its holdings of U.S. government bonds amid turbulence in the Treasury market.

The big picture: Beyond finance, European countries are looking for ways to wean off the U.S.

• On weapons, Europe is seeking to source more equipment locally to reduce its dependence on American firepower, Reuters reports.
• On technology, the EU this summer set out plans to reduce its reliance on American companies, drafting cloud rules that would restrict Amazon, Google and Microsoft from competing for sensitive contracts, Reuters also reported.

Zoom out: Individuals around the world are also recalibrating their relationship to the U.S.

• International applications to U.S. colleges dropped 10% in the most recent admissions cycle. Stricter international student visa policies and the Trump administration's broader immigration posture have weighed heavily.
• International travel to the U.S. fell 5.5% in 2025, the first decline since the pandemic, as relationships with longtime allies grew strained. Canadian travel dropped 25% last year, with the slide continuing into early 2026.
• German travel to the U.S. has dropped 25% since the beginning of Trump's term, with the country's travel association pointing to politics as one factor.

By the numbers: America's standing has been hit especially hard in the West, according to a recent Pew study.

• Hungary and Poland were the only two of 10 countries polled where majorities still view the U.S. as a reliable partner.
• Majorities in all 10, including two with right-wing populist leaders, say they lack confidence in Trump to do the right thing in world affairs.

Reality check: This is not wholesale abandonment of U.S. partnership. The U.S. dollar's dominance remains unthreatened, allies depend heavily on American military might and the U.S. remains the top destination for international students.

What to watch: Germany, Italy and Spain are facing renewed pushes at home over whether to keep gold reserves in the U.S.