Stocks continued to advance for a fifth straight session on Wednesday. Should investors watch out for a possible market correction? Bob Parker from Credit Suisse shared his insights.
"I can't think of any reason why we should have a market pullback," Parker told CNBC.
"If you look at the next few months, the economic numbers are going to remain very strong."
Parker said earnings season is expected to remain upbeat in the developed world, with results up more than 20 percent year-over-year.
“We have to make a distinction between a pullback like we had in January and a moderation in the rally,” he said. “I can buy the argument that we may have a moderation in the rally…but I do think the trend for the next 2 to 3 months is upwards.”
Parker said markets have been discounting a lot of the negative factors since January, such as concerns over monetary tightening in China, potential US financial regulations and even the sovereign debt issues in Europe.
“That’s all discounted and I think the market’s ignoring what will be a very good quarter for economic numbers and corporate earnings numbers,” he said.
- Watch Parker's Previous Appearance on CNBC (Mar. 31, 2010)
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Major Earnings This Week:
Yum Brands
AMD
Bank of America
General Electric*
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Disclosures:
No immediate information was available for Parker or his firm.
*GE is the parent company of CNBC and CNBC.com.
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