Morgan Stanley (MS) stock soared 5.44% in pre-market trading on Tuesday, as investors gear up for the upcoming first-quarter earnings season. The financial giant is set to report its Q1 2025 results on April 11th, along with other major banks like JPMorgan and Wells Fargo.

The pre-market rally suggests that investors are optimistic about Morgan Stanley's potential performance, despite recent market turbulence caused by President Trump's new tariff policies. Overall, S&P 500 companies are expected to report an 8.0% year-over-year increase in first-quarter earnings, according to LSEG IBES data.

As the financial sector kicks off the earnings season, all eyes will be on how major banks navigate the current economic landscape. Investors will likely be looking for insights into how Morgan Stanley and its peers are managing the fallout from recent tariffs and their outlook on potential interest rate cuts by the Federal Reserve. The strong pre-market performance of Morgan Stanley's stock indicates that traders are anticipating positive results or guidance from the company's upcoming earnings report.