The market sold off today because treasuries got killed (yield up). Also the U.S Dollar looks higher. I think that once the initial shock that rates are going higher gets absorbed the market will be fine.
There are a number of implications embedded in the strength of the greenback.
- It will help tamp down dollar-denominated commodity prices
- It will help keep inflation pressures in check
- It will helps make overseas travel more affordable for US citizens
- It will raise the appeal of owning US assets for foreigners in countries with a weakening currency
- It will enhance the competitive influence of foreign exporters; and
- It will weigh on the earnings prospects of US multinational companies (conversely, it will boost earnings prospects for foreign multinational companies)