Defensive stocks should stage a comeback, Barclays' Barry Knapp believes, pointing to 1945-51 -...

|By:, SA News Editor

Defensive stocks should stage a comeback, Barclays' Barry Knapp believes, pointing to 1945-51 - when government debt-to-GDP soared to 121%, prompting a cap on long-term Treasury rates at 2.5% - as a useful comparison to today. "If history is a guide, high-yielding stocks could continue their period of strong relative performance until the Fed policy normalization process begins."