CFRA's Sam Stovall anticipates the stock market can go higher even without rate cuts, but has the playbook to navigate a possible correction if one develops. The chief investment strategist expects the S & P 500 still has further upside. His 5,250 year-end target is roughly 2% above where the broad market index closed Wednesday, at 5160.54. But he sees a bumpy road ahead, anticipating a consolidation of about 8% to 10% after the market's recent gains.
"As a result, I think there is, after we get through this much-anticipated correction that history says is overdue, I think we do end up being higher by year-end," Stovall said. The strategist made his remarks after Wednesday's hotter-than-expected consumer inflation report for March spurred concern that the Federal Reserve will keep interest rates higher for longer, a headwind that could pressure equities after their rally this year.