Buying bank stocks two months before a December rate hike worked every time since 1990, as investors consistently bet on the sector to get a year-end profit boost from the Fed's move, according to a historical analysis.
After the strong wage growth figure in Friday's jobs report, traders now give a greater than 90 percent chance of a rate hike at the Federal Reserve's Dec. 12-13 , according to the CME's FedWatch tool.
Using hedge fund analytics tool Kensho, CNBC found the best sector performers two months before a December rate hike, which are actually pretty rare, occurring just four times since 1990.
Financials were up every time and posted an average return greater than 10 percent. The year-end placement of the hike appears to be a factor as the sector is up only 62 percent of the time two months before all Fed rate hikes, according to Kensho.