Market Comment

News: Mixed sentiment ahead of Thanksgiving weekend. Jewelers seeing steady sales but remaining cautious amid economic uncertainty. US jewelry sales -3.8% in Oct., Mastercard reports. Brilliant Earth lowers outlook as 3Q sales +17% to $111M, profit +44% to $6M. Savvy retailers focused on enhancing consumer holiday shopping experience by improving multi-channel sales platforms. High end robust. Richemont’s jewelry maisons 1H sales +24% to $6.6B, operating profit +22% to $2.4B. Dealers more upbeat than manufacturers. Rough market slow; De Beers Nov. sales -11% to $450M. Sotheby’s Geneva totals $50M, but cushion, 5.53 ct., fancy-vivid-blue from De Beers collection fails to sell.

Fancies: Fashion driving demand for elongated Ovals, Emeralds and Radiants. Goods with medium and short ratios are weak and declining in value. Slow market for 0.30 to 1.20 ct. diamonds. 1.25 ct. and larger, F-J, VS-SI categories stable. Supply shortages of well-cut fancies supporting prices. Oval is leading shape, followed by Radiant, Emerald, Pear, Cushion and Marquise. Retailers offering broader product ranges as consumers seek alternative cuts. Excellent shapes commanding premiums. Oversizes trading at higher prices than usual. Off-make, poorly cut fancies illiquid and difficult to sell.