Stock market will continue to rally: Experts

Markets showed gains Thursday for a second straight day after starting the new year with five sessions of declines.

Experts on CNBC's "Squawk on the Street" Thursday said that equity markets should remain strong amid news that the Federal Reserve is unlikely to raise interest rates soon.

Steven Ricchiuto, chief economist at Mizuho Securities, said that there is no doubt that a rate hike is coming and that it is only a matter of timing. He added that with global deflationary pressures and slowing global growth, the "Federal Reserve has the opportunity to let this thing really get moving and I think that's what you're going to try to see in the equity market as we go forward."

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A trader works on the floor of the New York Stock Exchange.
Jin Lee | Bloomberg | Getty Images
A trader works on the floor of the New York Stock Exchange.

Wedbush Equity Management's chief investment officer, Stephen Massocca, agreed. He added that the central bank will also shy away from raising rates just yet, as the differential between the dollar and other currencies increases.

"At the end of the day I still think even though fixed income markets have rallied considerably, that equity markets will continue to rally," he said. "All of this currency has to go somewhere and that's where it is going."