Weekly Market Insights (07 - 14 Aug 2026)

Weekly Report Insight (07-14 August 2026) .pdf

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Global Markets

Global markets ended the week generally stronger, supported by softer US labour market data that reduced expectations of further Federal Reserve tightening and improved investor sentiment.

• Equities:

  • US markets performed strongly, led by the Nasdaq (+5.12%), with technology and growth stocks benefiting from lower rate expectations. The S&P 500 and Dow Jones also posted solid gains.

  • European equities advanced, with Germany’s DAX outperforming due to strong corporate earnings and encouraging industrial data.

  • Asian markets were mixed, as Japanese shares rose on technology-sector strength while Hong Kong declined amid weakness in financial stocks.

  • Australian equities ranked among the strongest-performing developed markets, supported by gains in mining, financial, and consumer sectors.

• Bonds:

  • US, UK, and Chinese government bond yields declined, reflecting softer policy expectations and continued demand for government debt.

  • Australian bond yields edged higher, indicating ongoing concerns about inflation and the possibility of a more restrictive domestic policy stance.

• Currencies:

  • The US dollar weakened, as softer employment data reduced the likelihood of further Fed tightening.

  • The euro, Australian dollar, and Chinese yuan all strengthened modestly against the US dollar.

    
    

Commodities

Commodity markets were mixed, with metals and cocoa outperforming while energy commodities weakened.

• Gold rose strongly (+7.43%), supported by lower Treasury yields and continued demand for safe-haven assets.

• Copper and aluminium advanced, reflecting supply constraints and sustained demand linked to infrastructure, electrification, and technology investment.

• Cocoa gained significantly (+7.13%), supported by weather-related production concerns and ongoing supply risks.

• Crude oil, natural gas, and coal declined, as easing supply concerns and improved shipping conditions reduced pressure on energy markets.

• Coffee weakened, reflecting changing crop conditions and improved supply expectations.

  
  

PNG Local Market

PNG’s market remained stable with improved trading activity, although activity remained concentrated in a small number of stocks.

• Stock Market:

  • PNGX recorded approximately K5.56 million in turnover from 3.55 million shares traded, a substantial increase from the previous week's activity.

  • PLC dominated trading, accounting for the largest share of both volume and value traded.

  • Share price performance was generally positive:

    • KAM was the strongest performer, rising 2.81%.

    • KSL gained 0.68%.

    • STO increased 0.27%.

    • BSP, CPL, NGP, NEM, and PLC were unchanged.

    • No stocks recorded losses during the week.

  • Broader market sentiment improved, with stronger turnover and positive market breadth.

• Corporate Update:

  • Newmont Corporation announced an agreement with Barrick Mining Corporation relating to the Nevada Gold Mines joint venture and filed updated governance documentation with the US SEC.

    
    

Treasury Bills

The Treasury Bill market remained stable but under-subscribed, reflecting more cautious investor participation.

• The Government offered K270 million in Treasury Bills but received only K162.38 million in bids, with K142.38 million accepted, resulting in an under-subscription of K107.62 million.

• Investor demand remained concentrated in the 364-day tenor, which attracted the majority of bids.

• Yields ranged between 4.70% and 5.05%, with longer-dated securities continuing to offer higher returns:

  • 182-day: 4.70%

  • 273-day: 5.04%

  • 364-day: 5.05%

• Despite weaker participation, demand for longer-term government securities remained relatively resilient.

  
  

Overall Takeaway

Global markets benefited from softer US labour data, lower expectations for additional rate hikes, and strong performance from technology-related sectors, supporting equities while weakening the US dollar. Commodity performance was mixed, with metals and cocoa outperforming while energy prices softened. In PNG, equity market activity improved significantly, led by PLC, while the Treasury Bill market remained stable but experienced an under-subscribed auction, suggesting investors remained selective despite continued confidence in longer-term government securities.

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For a detailed breakdown of market performance, economic data, and treasury auction results, download the complete report.

Weekly Report Insight (07-14 August 2026) .pdf

Download PDF • 335KB

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