The banking industry posted record profits for the quarter, CNBC reported. Second-quarter profits totaled $43.6 billion, up from $43.01 billion in Q2 of 2015. That’s a 1.4% increase year-over-year.
Second-quarter profits were also up by 11.7% from first-quarter totals.
Banks snapped up record profits despite a more stringent regulatory environment and higher capital requirements, according to CNBC. The Federal Reserve has also adopted stricter stress-test standards, but all US-domiciled banks managed to pass them, CNBC reported.
Banks could be in for even more scrutiny next year, depending upon the outcome of the presidential election. Both parties endorse bringing back he Glass-Steagall law, which prevented the commingling of commercial and investment banking, according to CNBC. But Donald Trump favors trashing the controversial Dodd-Frank Act, while Hillary Clinton has taken a tougher stance on big banks – despite accepting $41.5 million in campaign contributions from the industry, according to CNBC.
Despite increasing regulatory scrutiny, American banks had their best quarter ever in Q2, according to a CNBC report.