The stock market will hit record highs by the end of the year based on Goldilocks scenario, Bank of America says

• The stock market could hit record highs before the end of the year, according to Bank of America.
• When stocks are up 10%-20% heading into September, the month's returns are positive 65% of the time, BofA said.
• "2023 has a bullish setup for September and the rest of the year."

The stock market is in a Goldilocks scenario that could make conditions just right for record highs before 2023 is over.

According to a Friday note from Bank of America's technical analyst Stephen Suttmeier, the S&P 500 is entering September in a promising middle ground.