Bank stocks get a boost as Goldman Sachs and Morgan Stanley blow past estimates

Stocks of all the major banks were slightly higher in pre-market trading after two of the big banks reported earnings on Tuesday.

Goldman Sachs and Morgan Stanley beat estimates for the third-quarter, sending their stocks up 1.18% and 1.59% respectively.

Goldman posted earnings per share of $5.02, ahead of the $4.19 expected by analysts. This was largely credited to a surge in investing and lending revenue.

Meanwhile, Morgan Stanley reported earnings per share of $0.93, ahead of estimates of $0.81 per share. The bank saw strong performance from its dealmakers and wealth management unit.

Tuesday's results follow the strong performances by JPMorgan, Citibank, Bank of America and Wells Fargo, which all posted earnings beats last week.

The S&P 500 Financials Index, which is comprised of banks and financial institutions, was up 0.64% ahead of Tuesday's opening bell and 12.87% for the year. Here's a look at how the major banks are trading early Tuesday:

• JPMorgan (JPM) +0.50% at $98.33
• Citigroup (C) +0.70% at $72.27
• Bank of America (BAC) +0.72% at $26.43
• Wells Fargo (WFC) +0.20% at $53.91
• Goldman Sachs (GS) +1.23% at $245.39
• Morgan Stanley (MS) +1.33% at $49.59

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