No sound at all for PS3

Strange issue here. Soundbar connected to Sharp AQUOS TV via optical cable. PS3 connected to TV via HDMI cable. Sound works for cable and DVDs/Blurays on the PS3, but sound does not work for PS3 menu or games...

I have played with the PS3's sound settings allowing DTS, Dolby 5.1, and PCM and none work. I would imagine that the PS3's games and menu transmit Dolby or DTS, but when that is enabled, the soundbar keeps searching for PSM and won't automatically switch to Dolby or DTS sound, and hitting the button on the remote does nothing (so whats the point of the button?)

This is pretty annoying. Any advice? Or is the soundbar just not made to work with a PS3's games or menu sounds?