U.S. dollar strength has helped drive down commodity prices, given consumers more purchasing power and generally helped firms that do most of their business within the country.
However, the strengthening greenback is taking its toll elsewhere, according to an analysis this week from Goldman Sachs.
"Companies most exposed to international sales faced negative currency impacts on revenue and (earnings per share)," Goldman said in a report that looked at the impact multiple variables are having on corporate health this year. "Even with hedges in place, managements predict this trend will continue in 2015. Companies that also incur significant costs in non-U.S. locations witnessed an offset to lower revenue on the bottom line."
Broadly, conference calls during fourth-quarter earnings season showed CEOs optimistic due to lower oil prices, related consumer strength and accelerated growth in the housing market.
Posing the biggest threat to that scenario, however, was expected continued currency strength as the U.S. economy grows faster than its global counterparts and the Federal Reserve prepares to tighten monetary policy through increasing interest rates.
The dollar index, which measures the greenback against a basket of global competitors, has risen 15.2 percent over the past six months. The dollar is up 14.3 percent against the euro and 15.9 percent against the yen during the same period.
Goldman's analysis focused on seven firms and their own assessment of currency impacts: