The Nasdaq index closed up more than 1% Friday, July 31, supported by strong business results for some of the largest American companies, but Dow Jones and S&P 500 closed the week with lower gains, as the Dow Jones industrial index rose 114.67 points, or 0.44%, to 26428.32 points , While the S&P 500 index ended its week, rising by 24.9 points, or 0.77% to 3271.12 points, and the Nasdaq Composite Index increased 157.46 points, or 1.49%, to 10745.28 points.
The biggest impact of the US data, which showed the US economy contracted at the largest quarterly pace ever, was about 32.9% in June.
European stocks recorded their first monthly decline since the market sell-off since March, as growing doubts about the global recovery from the Corona virus crisis overshadowed a set of strong profits for technology companies.
The European Stoxx 600 index erased gains it made at the beginning of the session and closed down 0.9%, influenced by a weak opening of the American Stock Exchange in light of the optimism caused by the announcement of strong profits from big technology companies Amazon, Apple and Facebook.
An initial reading from the euro area showed that the bloc’s economy contracted by more than 12.1% in the second quarter of the year, which is the largest contraction ever, as measures of public isolation undermined activity
The benchmark Spain index lost 1.7% after the country recorded the worst slowdown in output, while the gross domestic product in Italy and France also fell significantly, but at a slower pace than expected.
600Stoxx lost about 1% in July, as sentiment was also affected by fears of an increase in the frequency of coronavirus infections, as Britain imposed more severe closures in areas of northern England, while Spain saw an increase in new infection rates.
Technology stocks were among the few gainers, achieving a 0.7% increase after results exceeded expectations from major technology companies on Wall Street on Thursday.
So far, about 50% of Stoxx’s listed companies have posted a quarterly profit, of which 64% have exceeded expectations, according to Refinitiv data.
Oil prices rose on Friday, July 31, to monthly gains, supported by news that the May oil production cuts in May were the largest ever.
And Brent crude was settled, up 37 cents, or 0.9%, to $ 43.31 a barrel.
US crude rose 35 cents, or 0.9%, to $ 40.27 after falling 3.3% in the previous session, also rising from low levels not seen since the tenth of July.
Brent crude rose for the fourth month in a row, and US crude rose for a third month, as both increased from two lows in April when most of the world was in a state of closure due to the Corona pandemic.
According to a monthly report issued by the US Energy Information Administration, US crude oil production fell in May, falling by a record 2 million bpd to 10 million bpd.
Gold rose on Friday July 31 to hover near its highest levels ever, as the dollar’s decline and negative economic figures from all sides triggered an exodus towards the yellow metal that is considered a safe haven, and which is on the way to achieving the largest monthly gain since February 2016.
Silver rose 2.3% to $ 24.08 an ounce and is heading for a monthly increase of about 33%, the highest ever in statistics dating back to 1982, supported by investment and industrial demand.
And gold rose in spot transactions 0.6% to $ 1971.83 an ounce, while gold was settled in US futures contracts, up 1% to $ 1985.9 dollars.
Prices rose to an all-time high of $ 1980.57 on Tuesday, July 28th, which is 10% higher since the beginning of the month.
And the metal has gained since the beginning of the year about 30%, supported by low interest rates globally and broad stimulus
Spread by central banks, which increased support for gold, which is considered a haven from inflation and currency depreciation.
As for other precious metals, platinum fell 0.5% to $ 898.66 an ounce, but it is destined
It recorded its biggest monthly gain since January 2017.
Palladium won 0.4% to $ 2090.60, and went towards a monthly rise of more than 8%, the first in five months.
The dollar continued its massive decline on Friday, July 31, putting it on the path of recording the largest monthly drop in ten years, as investors fear that the recovery of the American economy will be derailed by difficulties in containing the Corona virus epidemic.
The weak US currency supported the euro to rise, as the single European currency touched 1.19 dollars, its strongest level since May 2018, to record the best monthly performance since September 2010.
Confidence in the American currency further undermined after US President Donald Trump raised the possibility of delaying the November presidential election.
This came on the same day that GDP data showed a contraction at an annual pace of 32.9% in the second quarter, the fastest pace since the Great Depression.
The dollar index fell to 92.546, a level not registered since May 2018.
The index fell 4.9% in July, while the largest amount of decline was recorded in the last ten days, as new infections with the Corona virus rose in a number of US states, while some indicate
Recent data indicates that the economic recovery is losing momentum.
The euro rose to a high of $ 1.1908 before settling at $ 1.1897, up 0.5% during the session.
The euro traded below $ 1.10 in May, but after European Union leaders agreed this month to a 750 billion euro economic recovery fund while they will jointly obtain debt in a major boost to cooperation in the region, many investors have bought the single currency again.
Against the yen, the dollar reached its lowest level in four and a half months at 104.195 yen and reached in the most recent trading 104.36, to lose 3.3% this month.
Sterling rose to $ 1.3143, the highest level in four and a half months. It slipped slightly against the euro to 90.60 pence.