The NASDAQ opened slightly higher on Monday July 20th, as Greece reopened its banks and started the process of paying off billions of euros owed to the International Monetary Fund (IMF).
European equities soared to six-week highs on Monday as Greece began to return to normality after a deal to agree on a new bailout package. Volatility has been decreased in the eurozone with Monday marking the first step in reopening Greece’s banks and paying back billions of euros owed to international creditors.
The gold price has fallen to its lowest in more than five years while the U.S. dollar hit a three-month high with U.S. interest rates expected to rise this year. Spot gold last traded at $1,112.30 an ounce, having dropped as far as $1,088.05—its weakest since March 2010.
The NASDAQ climbed 11 points to 5,222.86 at the beginning of the trading session. As of 10:00 a.m. E.T., all the U.S. indices were trading higher from the previous close.
Top Market News Today
U.S. Dollar Hits Three-Month Peak
Rising U.S. inflation and housing data helped the dollar to its best performance since May last week after Federal Reserve Chair Janet Yellen signaled that the federal fund rate will probably increase later this year. The latest dollar’s gain has increased the hopes of some the dollar bulls betting on the parity of the dollar with the euro in the next few months.
Gold Prices Fall to Five-Year Low
Gold hit a five-year low after prices plunged four percent. The latest news from the Federal Reserve signaling to raise the interest rate led investors to sell the precious metal.
Stocks on the Move
Amazon.com Inc (NASDAQ/AMZN)
Analysts at Cowen upgraded the giant online retailer to “outperform” from “market perform,” saying the retailer has gained traction in a number of retail markets and that it will lead the company to become the number one apparel retailer by 2017.
Microsoft Corporation (NASDAQ/MSFT)
According to Israeli financial newspaper Calcalist, the company will buy Israeli cybersecurity company Adallom for $320 million as part of their expansion strategy into the cybersecurity industry. The U.S. technology company has made several recent acquisitions in Israel, including security software developer Aorato for a reported $200 million.
Barclays downgraded the online review site to “equal weight” from “overweight,” citing intensifying competition will put pressures on growth prospects. The Internet sector has been increasingly volatile; dropping traffic growth and intensifying competition.