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Market Extra: A strong dollar is stirring trouble in markets: What investors need to know

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Last week, the U.S. dollar etched a new entry in the financial history books when it briefly traded above parity with the euro EURUSD for the first time in a generation.

While the greenback has pulled back from its highs this week, banks in Europe and the U.S. — including UBS Group UBS, ING ING, Credit Suisse CS, Rabobank and JPMorgan Chase & Co. JPM— generally expect the dollar to continue to strengthen heading into the end of the year. Indeed, investment banks generally don’t expect the dollar rally to start to reverse until…

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