Consumer cyclicals such as retailers are becoming attractive, said Bob Stovall, Wood Asset Management managing director and global strategist.
Some energy stocks also make good buys now, he told CNBC's Erin Burnett.
“I like railroads; we have CSX in our portfolio along with Norfolk Southern and a number of retailing stocks that require consumers to start spending, which they’re not doing now, but as we just said, you take a longer view than just today.”
Although Stovall has never seen market environment quite like this, he said, it most reminds him of the ‘60s.
“We were victims of recessionary thinking all this year," he said, "but now officially we’re in a recession.”