The latest rally on Wall Street appears to have some staying power as investors dial back some of their negative outlook for the US economy, according to a top Oppenheimer strategist. Jon Stoltzfus said Friday on CNBC’s “Squawk on the Street” that investors are growing more confident in recent weeks. He dated the latest increase in shares to 12 October. The S&P 500 has gained about 12% since that day. “You have some value, you have some growth value, as well as defensive and cyclical. It looks like investors are coming back into this thing. So we think there’s potential,” said the chief investment strategist. ” The run up for stocks has come as the Federal Reserve has signaled it will soon slow rate hikes and inflation readings have begun to improve. Stoltzfus said the rally is showing recession fears may be waning. Stoltzfus said, “We think the equity market has paid a pretty good price at first being in a recession, then deciding there can’t be a recession. And the bond market looks like it’s stuck in the middle.” The strategist said it’s “very possible” the stock is going back into a bull cycle after plunging into a bear market earlier this year. He pointed to consumer discretionary and technology as sectors that could rebound after a tough 2022. Oppenheimer targets the S&P 500 at 4,000 by the end of the year. The index has already reclaimed that level, and Stoltzfus said on Friday it would likely end 2022 above the target.