Market Comment

News:

Market trends stable. Rounds up to 1.19 ct. weak, with 2 ct. and larger steady. Long fancies above 1.70 ct. strong. US retailers doing solid business in 2 to 4 ct. rounds and long fancy shapes. De Beers to allow 100% refusals at Nov. 3-7 sight amid shaky market and uncertainty about company sale; Angola reportedly challenging Botswana for majority stake. De Beers 3Q consolidated rough sales more than triple YOY to $700M amid “stock rebalancing” and one extra sight. Petra Jul.-Sep. like-for-like rough prices -8% compared to Apr.-Jun. figures. India factories still closed after Diwali, expected to reopen next week. JVC, American Watch Association ask Supreme Court to strike down tariffs.

Fancies:

Long fancy shapes such as Oval, Marquise and Emerald doing better than rounds in 2 ct. and larger. High-quality Marquises, long Radiants and long Cushions in short supply. Marquises most expensive fancy shapes. Long Cushions easy to sell and trading at 20% to 25% premium over square ones. Solid US market for elongated Ovals of good shape and quality in D-I, VS-SI categories. US Oval prices 5% to 10% higher than those of Pears. Very well-cut fancy shapes difficult to find and commanding premiums. Fancies with bad proportions illiquid.