As of 11:37 AM ET, the Dow Jones Industrial Average(DJINDICES:^DJI) is down 0.67% to 53,325.23, the S&P 500(SNPINDEX:^GSPC) has slipped 0.50% to 7,708.89, and the Nasdaq Composite(NASDAQINDEX:^IXIC) is trading 0.44% lower at 26,467.18 as a surprisingly strong employment report sparks renewed interest rate anxiety.

Gold is down 1.15% to $4,487.60, while the 10-Year Treasury yield has risen 1 basis point to to 4.77%. Utilities is the only sector in the green, while consumer cyclicals and communication services saw the biggest declines.

Today's biggest moves

Lululemon Athleticatumbled 18% on news of declining revenue and a cut to its outlook. Memory stocks, such as Sandiskand Micron Technology, gained despite broader stock market losses. Fair Isaac(NYSE:FICO) plummeted following pricing criticism on social media from the Federal Housing Finance Agency.

What this means for investors

Yesterday's optimism that the Federal Reserve might not raise rates when it meets later this month was swiftly dashed today as U.S. job growth surged, beating expectations. The economy added 162,000 jobs in August, despite geopolitical tensions and inflation pressure.

On the face of it, that strength is good news for the economy. However, stocks fell because a rate hike is now more likely: The Fed's dual mandates are maximum employment and price stability, and if things are OK on the employment front, it has more leeway to raise rates to bring down inflation.

For investors, the big lesson to take from both yesterday's gains and today's losses is this: Sentiment can shift with each new economic report, so try to tune out the noise. Instead, focus on companies with strong fundamentals that you plan to hold for five years or more.

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