Market Overview

This page provides a live snapshot of key market indicators, including interest rates, commodities and currency movements, supported by Ledge Finance insights.

Market data is updated in real time, while commentary is reviewed and updated regularly to reflect broader trends and conditions. This approach is designed to provide a clear, high-level view of the market environment as it evolves.

Business Finance & Lending Signals

Businesses are entering FY27 from different positions. Some are seeking finance to invest in equipment, technology, property or expansion, while others are prioritising cash flow, working capital and greater resilience.

In this environment, the purpose and structure of finance matter. Short-term working capital, equipment finance, property lending and longer-term business debt each support different needs and should be considered in the context of the business’s cash flow cycle, existing commitments and future plans.

Lenders may also place greater emphasis on current financial information, cash flow forecasts, tax obligations and a clear explanation of how funding will be used.

Reviewing facilities before a major purchase, contract, acquisition or cash flow pressure arises can give businesses more time to assess their options and prepare the information lenders may require.

Global Markets at a Glance - July 2026

Global markets are navigating renewed volatility as investors weigh resilient economic activity and corporate earnings against geopolitical tensions, elevated energy costs and uncertainty around the future direction of interest rates.

Technology and Artificial Intelligence-related shares have also come under pressure as investors scrutinise high capital expenditure, company cash flow and whether future returns will justify current valuations.

Bonds:

US and Australian government bond yields remain elevated as markets respond to persistent inflation pressures, changing interest rate expectations and geopolitical uncertainty.
Higher bond yields can affect borrowing costs, business valuations and investor appetite across property, infrastructure and equity markets.

Equities:

Global equity markets have become more uneven, with technology and semiconductor shares experiencing sharp falls amid concerns about Artificial Intelligence spending, valuations and future profitability.

Energy & Resources:

Gold has remained above US$4,000 per ounce, supported by geopolitical uncertainty and safe-haven demand, although prices continue to fluctuate in response to bond yields, interest rate expectations and movements in the US dollar.
Crude oil prices have been particularly volatile. Brent crude moved above US$100 per barrel during July as conflict in the Middle East raised concerns about supply disruptions, before falling sharply as diplomatic talks temporarily eased those concerns.
Iron ore has traded unevenly, with prices influenced by strong Australian supply, Chinese steel demand and broader expectations of increasing global production. While there have been periods of improvement during July, the longer-term outlook remains subject to potential oversupply and weaker demand growth.
Copper prices have fluctuated but remain supported by structural demand connected with electrification, energy infrastructure, data centres and AI investment.

Agriculture:

Australia’s agricultural sector is moving into a more challenging 2026–27 production cycle. ABARES forecasts national winter crop production will fall by 21% to 54.5 million tonnes, largely reflecting lower expected yields and reduced planted area. Western Australian winter crop production is forecast to fall by 21% from the record levels achieved in 2025–26.
A drier seasonal outlook, soil moisture conditions and uncertainty around fertiliser supply remain key risks. Rising fuel and fertiliser costs are also contributing to margin pressure, although seasonal conditions are having the greater influence on planting and production decisions.

Australian Stock Market Performance

The ASX showed resilience across July 2026, although performance varied significantly between sectors and from one trading session to the next.

Commodity prices periodically supported mining and resources shares, while changing interest rate expectations influenced banks, property, consumer and other rate-sensitive sectors.

The release of softer-than-expected June inflation data late in the month also supported investor sentiment, reducing immediate concerns about a further RBA rate increase.

Key Market Trends & Performance (May 2026)

Resources: Mining shares received support at different points from movements in iron ore, copper and other commodity prices, although performance remained sensitive to the outlook for Chinese demand and global supply.
Financials: Major banks delivered mixed results as investors weighed earnings resilience against changing interest rate expectations and the broader economic outlook.
Technology: Shares experienced periods of strength and volatility, reflecting changing sentiment towards global Artificial Intelligence investment and company valuations.
Healthcare: Shares recovered late in the month and were among the sectors supporting the broader market following the June inflation release.
Interest rate-sensitive sectors: Property, consumer and other rate-sensitive shares continued to respond closely to bond yields and expectations surrounding the RBA’s next decision.
Investor sentiment: Markets remained reactive to inflation data, geopolitical developments and overseas equity movements, contributing to uneven daily performance.

Learn more

Australian Dollar & Other Currencies

The Australian dollar dropped to about US 69.49 cents on July 29, 2026 after softer-than-expected inflation data reduced expectations of a further near-term interest rate increase by the Reserve Bank of Australia.

The currency was also influenced by broader strength in the US dollar, geopolitical uncertainty and expectations surrounding the US Federal Reserve’s next policy decision.

Movements in commodity prices, interest rate expectations and global risk sentiment are likely to remain important drivers of the Australian dollar in the months ahead.

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Interest Rates — RBA Update

The Reserve Bank of Australia held the cash rate at 4.35% at its June meeting, following three increases earlier in 2026.

Annual inflation eased to 3.8% in June, down from 4.0% in May. However, trimmed mean inflation — a measure of underlying price pressures — remained unchanged at 3.6%.

Housing continued to be the largest contributor to annual inflation, with prices rising 6.8% over the year. Food and non-alcoholic beverages and recreation and culture each rose 3.3%.

The latest inflation figures will be one of several factors considered by the RBA ahead of its next monetary policy decision in August. While headline inflation has moderated, ongoing underlying and housing-related price pressures mean uncertainty around the interest rate outlook remains.

For borrowers, an unchanged cash rate does not necessarily mean lending conditions will remain unchanged. Individual lenders may continue to review interest rates, serviceability policies and credit appetite in response to funding costs, economic conditions and their own portfolio priorities.

Businesses considering refinancing, equipment purchases, property investment or additional working capital may benefit from reviewing their funding position early rather than waiting until finance is urgently required.

Latest RBA Media Release

Property & Lending Signals

More properties are coming to market across Perth, giving buyers greater choice than they had a year ago.

However, conditions remain uneven, with activity, affordability and competition varying across property types, suburbs and price points.

For buyers and investors, this makes preparation particularly important. Borrowing capacity can change as interest rates, lender policies, income, expenses and existing commitments change. A pre-approval or borrowing estimate obtained several months ago may no longer reflect a borrower’s current position.

Some lenders have also been adjusting fixed home-loan pricing and reviewing how they assess investment income and expenses. These changes do not guarantee a particular direction for future variable rates, but they reinforce the value of considering the full loan structure rather than focusing on one advertised rate.

Understanding borrowing capacity, finance conditions and settlement requirements early can support more informed property decisions.

If you are considering buying, investing or reviewing an existing home loan, speak with the Ledge Home Loans team about your current position and available options.

Page last updated: 29 July 2026

Disclaimer: Please note the information provided on this page is general in nature and does not constitute financial, taxation or other professional advice. You should consider whether the information is appropriate for your needs and seek professional advice prior to making any decisions.