The Federal Reserve raised rates for the first time in nine years and traders are already turning their sights to the timing of the next hike. A majority of investors see the next increase coming in April 2016, according to rate futures traded on the CME as of 2:15 pm ET. The period we're in now — between the two hikes — has not been a great time historically for the markets. CNBC Pro found the S & P 500, on average, declined 2.1 percent between the first and second hikes with defensive-oriented sectors outperforming. However, things start to look up as the tightening cycle continues. Using Kensho, a quantitative analytics tool, we ran the numbers on how the market, oil, gold, Treasurys and S & P industry groups did between the second and third rate hikes. Here's what you need to know in the four months leading up to the next probable Fed action... During the last three rate hike cycles (1994-95, 1999-2000 and 2004-06) the S & P 500 averaged a positive 1 percent return between the second and third rate increases, according to Kensho. Oil rose as it was part of the inflation that the Fed was trying to dampen with rate hikes. This year, crude has plummeted and there are no other signs of inflation on the horizon so that trade may not be a repeat winner this time. The best-performing industry groups in the time frame were diversified financials, retail, banks and insurance. Read More Goldman's Fed rate-hike playbook for clients After the second rate hike comes, investors gain more certainty that the Fed will keep raising rates for a long time, a move that typically steepens the so-called yield curve, benefiting financial companies' earnings. The SPDR S & P Bank ETF provides exposure to equities in the bank sector. The worst-performing industry groups were consumer durables, food retailing and health-care equipment. These traditionally defensive sectors may underperform as investors shift to more growth-oriented securities that benefit from a strengthening U.S. economy. Read More Apple's stock nears bear market. Buy it? Disclosure: NBCUniversal, parent of CNBC, is a minority investor in Kensho.
