Thomas Lee, the Fundstrat Global Advisors founder, said on Wednesday that markets will be stuck in a middle zone until investors get clarity from the Fed and beyond.
"I think investors are just deciding to take a break until they've got better visibility," he told CNBC's "Squawk on the Street." "We're stuck in a middle zone because I do think investors are waiting for cues from the market."
Lee said that markets want "a central bank they can trust." He said he was disappointed by last week's Fed decision not to hike rates, a decision he said was motivated mostly by troubles in the international economy. "I think it's going to be the most important to see stability out of emerging markets, when we start to see that rate of change improve, that is when investors can start to focus on more positive things."