What happened

Shares of the artificial intelligence lender Upstart (UPST -1.64%) traded nearly 9% higher in the late morning today but have given up some of those gains during what has been a roller coaster of a day for the broader market. Shares of Upstart traded nearly 6% higher as of 2:33 p.m. ET.

So what

The market today is struggling for direction as investors weigh how fast the Federal Reserve will raise its benchmark overnight lending rate, the federal funds rate, in the face of surging inflation. Additionally, investors are trying to figure out if Russia will invade Ukraine in a situation that has quickly escalated and may not have been previously priced into the market.

Blue line with arrow moving upward.

Image source: Getty Images.

There doesn't seem to be any specific reason for the rise in Upstart's stock today, but the company will report earnings results for the fourth quarter of 2021 after the market closes tomorrow.

It has been an interesting earnings season for fast-growing tech and fintech companies. Those that have not been able to beat earnings estimates or meet the Street's expectations for growth in 2022 have gotten slammed.

Now what

Hopefully, Upstart investors are more prepared going into earnings, especially after seeing the kind of drops that companies like LendingClubAffirm, and PayPal experienced after disappointing investors. 

Upstart stock is down about 73% since mid-October, so perhaps the potential for lower earnings or guidance has been priced in at this point. But considering what has happened in the fintech space this earnings season, don't be surprised if Upstart's stock faces similar pressure tomorrow.

However, an earnings beat and raising of guidance could be a potential catalyst. Either way, I would go into tomorrow's earnings report prepared to deal with volatility.