WASHINGTON (AP) — After tightening his expenditures in June, Barack Obama spent far more freely in July, cutting into his cash reserves while mounting an advertising campaign against Republican presidential rival John McCain.

The Illinois Democrat raised more than $50 million in July, a slight dip from the previous month, according to his monthly financial report, filed around midnight Wednesday with the Federal Election Commission. He spent about $55 million, with three-fifths of that devoted to media costs.

McCain had his best fundraising month yet, collecting more than $26 million. He, too, spent heavily — a total of $32 million, of which two-thirds was on advertising.

The documents illustrate the intensity of the contest, even at the height of summer.

The two candidates spent aggressively on advertising. McCain targeted about 11 traditional battleground states and Obama ran ads in 18 states, expanding his sights to states that have voted Republican in the past. But while Obama outspent McCain, polls show the race neck-and-neck, with McCain even closing the gap nationally and in some states.