There is no anomaly at all!

As a “wild card”, [A-Z] will only match one single uppercase character.

Note that trying to locate <period><space> as an end of sentence marker is always a bit of a wild goose chase. There are tons of abbreviations, acronyms, etc., followed by <period><space>.

However, you might want to try the following wildcard Find/Replace:

Find What: (.^32)([A-Z][a-z]{1,})
Replace With: \1^32\2