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Power Play: Oil supportive of stocks in 2017

Oil drilling
Dan Bannister | Tetra Images | Getty Images

The stock market is on fire, with the Dow climbing 6 percent in November.

Scott Wren, senior global equity strategist at Wells Fargo Investment Institute tells CNBC's"Power Lunch" on Monday oil will be supportive of stocks in 2017. "Our oil team's year-end 2017 oil target range is $40-$50 for WTI Crude," Wren said.

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He believes this is above the range needed for stability in the markets.

"$30-$35, in my opinion, appears to be a (wide) line in the sand for equities, above $30-$35 and the equity market can hold in and move higher (and decouple in terms of price)," Wren said.

WTI Crude is up 2 percent during trading and is up 27 percent year-to-date.