The Australian raid on 7 July 1942 had an effect

While the raid on the Germans on the evening of 7 July 1942 encouraged the 9th Australian Division and nearby units, the real effect was on the enemy. In reality, the attack was just "play" to exercise the troops. The Germans took the attack seriously and the 15th Armored Division commander was concerned about a breakthrough into their rear areas. He ordered his division reserve forward. Before dawn on 8 July, the 21st Armored Division sent some 19 tanks forward in response to the same threat. Rommel was so concerned that he ordered all officers in the area near the British forces to stay awake all night to keep from being surprised.
The inaction on the enemy side of about two weeks came to an end. Mussolini had visited in late June to be present when the Axis forces captured Egypt, which in the event never happened. Mussolini liked the idea of taking Alexandria, but Rommel and the Italian Cavallero preferred Cairo as an objective, because of the advantages of cutting "the Red Sea supply route". Rommel's army had been able to increase the tank strength to about fifty German and sixty Italian tanks. Rommel had positioned the 21st Armored Division, 90th Light Division, and the Italian Littorio Armored Division in front of the XIII Corps. They were given the two German reconnaissance units that had been re-positioned from their previous location in the south. Rommel's plan was for them to push forward to Alam Nayil and then turn north on 9 July. The 15th Armored Division and Trento Division were sitting on Ruweisat Ridge. This seems unclear, but the Australian historian says that to their north were the the Trento and Sabratha Divisions, where the Trento was mentioned as being on Ruweisat Ridge.
During the night of 7 to 8 July, the New Zealand Division, acting on Auchinleck's orders, had abandoned the box at Bab el Qattara. The Germans only realized that the box had been abandoned during the evening of 8 July. Despite that, Rommel had ordered an attack on the box, which was unopposed, while the 5th Armored Regiment was sent to Alam Nayil, but was stopped by New Zealand artillery fire. This is based on the account in Vol.III of the Australian Official History.