Market Comment

News:

US retail steady ahead of Mother’s Day. 2 ct. and larger rounds and long fancies moving well as high-end spending continues. Larger US wholesalers outperforming small ones due to better access to sought-after goods. Production cuts supporting market, especially in larger and higher-quality diamonds. Indian manufacturers slowing down for May summer recess. Dealers estimate low sales at this week’s De Beers sight as miner keeps prices steady. De Beers 1Q consolidated sales +25% YOY to $648M as Jan. price cut stimulated demand. Focus shifting to JCK Las Vegas (May 29-Jun. 1). Sotheby’s sells round, 28.88 ct., D-flawless diamond for $2.7M in Hong Kong. David Block steps down as Sarine CEO.

Fancies:

Long fancy shapes such as Ovals, Marquises and Emeralds doing better than rounds in 2 ct. and larger. High-quality Marquises, long Radiants and long Cushions in short supply. Marquise most expensive fancy shape. 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. Princess cuts weak. Very well-cut fancy shapes difficult to find and commanding premiums. Fancies with bad proportions illiquid.