Overall I like the weapon balance changes I've seen so far with 1.08, but I noticed a few items that need attention:
1) There is no zero reason to take the Oak Spear vs. the War Staff. They do the same damage, neither has a modifier to Combat Speed, the War Staff costs 1 less Gold, they cost the same in materials, and the War Staff adds 1 less turn to training time. Perhaps the Oak Spear should return to 5 damage?
2) Currently the Leather Cuirass costs 5 Gold and 2 Materials, while the Helm, Armlets, and Greaves each cost 5 Gold and 5 Materials. Wouldn't it make a lot more sense (Cuirass is the biggest piece and adds the most Defense) for the Cuirass to cost 5 Gold and 5 Materials and have the Helm, Armlets, and Greaves cost 5 Gold and 2 Materials? Also note that the Metal armors are all done this way, with the limbs costing less than the Cuirass.
3) It would be nice if the Gold cost of the Light Wooden Shield could be reduced because as it is, it's too expensive to give the Dagger or the Axe any value for being 1H weapons. The Dagger only has value vs. the Staff if using a shield makes sense. Raise the materials in exchange if you want.
4) The starting Peasant for Kingdom factions has a Base Attack of 1 while any unit you create has a Base Attack of 0. As a result, if you create a new unit with a Staff, its damage is the same as the starting Peasant. Fixed in 1.09.
5) The Chain Mail Shirt is completely pointless vs. the Leather Cuirass. I suggest removing the Combat Speed penalty and the need for Materials. Maybe add a small Dodge bonus like the shields.