Weekly Market Recap
Oil Crashes 8% and Big Tech Earnings Surprise
thePropTrade Week – Friday 31st July 2026
5 min read
- July 31, 2026
Hi Traders,
August already – seven months down and five to go for 2026. July was a humdinger, closing out with a widening conflict, divided central banks, and a wild week of Big Tech earnings.
Red Sea Conflict Widens as LNG Tankers Attacked
The War, now in its sixth month, escalated this week as two LNG tankers close to Egypt suffered a drone attack – a geographic widening of the conflict. Prior to that, 13 consecutive nights of attacks and counter-attacks suddenly ceased over the weekend. Oil prices tanked 8% on Monday and then another 5% on Tuesday, before returning to $90 a barrel on Wednesday and remaining there into Friday’s close.
Central Banks Split: Fed, BoE and BoJ All Divided on Rates
The FOMC and the Bank of England were both significantly divided on raising rates. 3 of the 12 voting FOMC members dissented and wanted a 25 bp interest rate hike. Similarly, the MPC of the Bank of England was split 3-6. The US 30-year yield hit a 19-year high, the 10-year UK Gilt held over 5.0%, and the Dollar Index broke under 100 for the first time in 6 weeks.
The BoJ also held rates unchanged, but there too they had a split vote (8-1). Ahead of the BoJ announcement there appeared to be co-ordinated buying of Japanese Yen late on Thursday as USDJPY fell to 158.00 from 164.00 earlier in the week. The pair closed on Friday even lower at 157.80, right at the key 200-day moving average.
Big Tech Earnings: A Mixed Bag from the Hyperscalers
Bitcoin hit a 6-week high over $65,000 before reversing. Gold continues to move lower, closing
Stock markets continued to slide, with chipmakers, and the worry over AI capital expenditure, once again dominating. The S&P 500 closed at 7489, +0.35% (26 points) over the week.
The big news swirled around the four hyperscalers reporting earnings, and what a mixed bag it was. Meta missed EPS but beat revenue, with expenses rising and $2.4 billion set aside for “legal charges” – free cash was exhausted, and the stock tanked 8%. Microsoft beat significantly, gaining 16% on Thursday. Amazon also advanced, up 15.32% on Friday and 17% on the week after beats across the board. Apple beat too, but was marked lower after a miss in services, losing 7.35% on Friday.
Gold and Bitcoin Stay Capped by Strong Dollar
Gold and Bitcoin remain capped at $4,100 and $65,000, respectively, with high yields and a strong USD still weighing on further gains.
The Week Ahead: FOMC, Earnings & Key Data
Next week the earnings season rolls on with more tech companies (Palantir, SpaceX, AMD and more) plus the pharmaceuticals sector, Disney, CAT, and Uber. It’s also Jobs Week, topped by NFP on Friday.
Trade Safely!