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This could give investors an upside surprise

Investors could be in for an upside surprise as the benefits of lower oil prices ripple through the economy, Oppenheimer Funds' Alec Young told CNBC on Friday.

While analysts were quick to cut earnings estimates for the energy sector, they typically take longer to revise up areas that get a boost from lower crude costs, such as retail and discretionary consumer goods, the investment strategist said.

Young sees earnings in those sectors making up for some of the downward revisions, which he said will ultimately push S&P 500 growth to about 5 percent.

"We actually think there could be an upward bias in earnings estimates as we move through the year if in fact oil has bottomed. And similarly if in fact the dollar has peaked, you could see a similar impact coming from forex," he said on "Squawk Box."

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To be sure, he said, it is easier to make the case that oil has bottomed than it is that the dollar has peaked. In the short term, the dollar looks overbought, but in the intermediate to long term, it is hard to argue that the dollar will not continue to perform well, he added.

Wal-Mart's decision to raise wages for some 500,000 employees could also support the case for corporate earnings surprises because wage growth is the biggest driver of margins, Young said. If the move has a domino effect and U.S. wages rise by 2 to 2.5 percent, productivity could rebound this year, which will keep margins high, he said.

BK Asset Management's Boris Schlossberg said the Wal-Mart announcement was the most interesting story for the dollar on Thursday. The retailer is a trend-setter for other employers, he said, and the fact that it is pushing up pay means the Federal Reserve is more likely to consider the idea of raising interest rates.

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"This is the only thing I think that's really holding the Fed back from normalization, and that's positive for the dollar," he said.

Currency traders will be waiting for comments next week from Fed Chair Janet Yellen about the timing of a rate hike. Schlossberg said it would be a stretch for the Fed to raise in June as had been expected by many economists. A hike some time in September would be enough for the market to feel confident about the dollar, he added.