Stocks could tumble 20% as steeper interest rates bite - and a recession seems inevitable, JPMorgan's chief strategist says

• Stocks could climb another 7%, but they could also tumble 20%, Marko Kolanovic says.
• The top JPMorgan strategist sees higher interest rates and a looming recession as market headwinds.
• Kolanovic cautioned against buying the "Magnificent Seven" stocks, which include Tesla and Nvidia.

The risks to holding stocks heavily outweigh the likely rewards, and a recession seems inevitable, one of Wall Street's top experts has warned.

"Could there be another 5%, 6%, 7% upside in equities? Of course," Marko Kolanovic, JPMorgan's chief market strategist and co-head of global research told CNBC on Thursday. "But if there is a downside, it could be 20% downside."