Dubravko Lakos-Bujas, J.P. Morgan's head of U.S. equity strategy, told CNBC's "Halftime Report" on Friday that he remains confident the S&P 500 will reach his year-end target of 3,000.
"The only thing that's basically keeping us from getting there at this point is the trade and the geopolitical risks," Lakos-Bujas said. "If you get any sort of softer rhetoric there ... I think the market could actually move higher by a few percentage points easily. And relatively quickly."
U.S. and Chinese officials are scheduled to have "mid-level talks" in Washington next week.
It has been a turbulent week for the market as Turkey's ongoing geopolitical and economic issues weighed against positive headlines on U.S.-Chinese trade negotiations.
The Dow recorded triple-digit moves every day this week, but managed to close higher for the week, along with the S&P 500. The Cboe Volatility index, widely considered the best fear gauge on Wall Street, hit its highest level in more than a month earlier this week.
"I think the market is trying to digest everything that's going on in Turkey. On top of that, you now have some negotiations between the U.S. and China," said Daniel Deming, managing director at KKM Financial. "I think the market is trying to grapple with all that."
Turkey's currency, the lira, hit an all-time low against the dollar on Monday. The currency bounced off those lows but then resumed its decline on Friday amid fears of additional sanctions from Washington. The U.S. warned Turkey it would impose more levies if American pastor Andrew Brunson is not released; he has been detained in Turkey since 2016.
The threats sent the lira down by about 3.7 percent.
The lira has also been under pressure because of Turkish President Recep Tayyip Erdogan's tight grip on the country's central bank. Erdogan has said he wants interest rates to remain low to keep Turkey's growth rate high, despite surging inflation in the country.
"With inflation running quasi out of control, the central bank won't raise rates high enough to choke it off, and so the lira falls, and it will continue to fall until that occurs," said Tom Essaye, founder of The Sevens Report, in a note. "That's because the central bank has become a political arm of the prime minister, as have many other parts of the Turkish government."
"And, therein lies the problem. At the heart of the Turkish tragedy is the fear that Erdogan has become a quasi-dictator, enforcing his political will on bodies best left independent (e.g. central bank)," said Essaye.
Shares of Applied Materials dropped more than 7.5 percent after the company issued weaker--than-expected guidance for its fiscal fourth quarter. Meanwhile, Nvidia fell 4.9 percent after its revenue forecast disappointed investors. These declines brought down the VanEck Vectors Semiconductor exchange-traded fund (SMH) by 0.7 percent.
—CNBC's Patti Domm and Tom Franck contributed to this report.