NU Online News Service, Aug. 15, 4:16 p.m. – Accounting distortions, government inquiries and a jumpy stock market had little effect during the second quarter on most U.S. banks, according to a new report from Standard & Poor’s Rating Services, New York.

The second-quarter operating performance of the typical U.S. bank was steady, S&P analysts write.

“Notwithstanding a lot of noise surrounding the large, complex banks with their exposures to several troubled sectors, like telecom and Latin America, their quarter-to-quarter performance generally followed that of the regional banks,” says Charles Rauch, an S&P director. “Revenue growth was little changed from the previous quarter.”

S&P analysts concede that some of the biggest banks are having problems because they lent too much money to shaky telecommunications companies.

Consumer credit quality is still weak, but consumer demand for credit remains high, and early delinquency levels seem to be slightly lower, the analysts write.