There are compelling reasons for why the stock market has not yet peaked, Morgan Stanley Chief U.S. Equity Strategist Adam Parker said Tuesday.
"I'm convinced that there's two things that cause the top of the cycle, two things only," he said "One, hubris, froth, some sort of excess, capital spending, inventory, hiring, M&A, new corporate headquarters that look fancy, whatever.
"And the other is debt. And the key right now is while there's lots of debt, none of it's due right for two or three years, so nobody can really go bankrupt, very few companies can go bankrupt, so I know I'm not at the top of cycle with more confidence than I did a year ago."
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On CNBC's "Fast Money," Parker said that business leaders weren't exactly in freewheeling mode.
"The perversity of all this quantitative easing globally is CEOs aren't that confident," he said. "What does that mean? They're not spending money and putting costs in place that could collapse their earnings."
Parker also said that the government shutdown wasn't the end-all for stocks.