Global Diamond Demand

RAPAPORT…
Antwerp

• Demand for rough is very strong and prices are constantly rising.
• Demand for polished is more steady, which causes the gap between the prices of rough and polished to spread, except in 3 carat+, where inflation has hit.
• Better qualities of melees keep moving.
• The purchasing power of the U.S. middle class appears to be diminishing, which has a direct impact on diamond sales in the middle-quality goods.

China

• 10-per-carat, good make, VS+/H-I, are selling at approximately $620 to $660.
• 6-per-carat, good make, VS+/H-I, are selling at approximately $830 to $870.
• 4-per-carat, good make, VS+/H-I, are selling at approximately $1,040 to $1,080.
• 3-per-carat, good make, VS+/H-I, are selling at approximately $1,400 to $1,500.
• 10-per-carat, good make, VS+/I-J, are selling at approximately $550 to $580.
• 6-per-carat, good make, VS+/I-J, are selling at approximately $780 to $830.
• 4-per-carat, good make, VS+/I-J, are selling at approximately $900 to $950.
• 3-per-carat, good make, VS+/I-J, are selling at approximately $1,250 to $1,350.
• Demand increased for 40-points-and-up size range, H+, VS-VVS in very good or excellent makes.

Hong Kong

• The magic number is 5 — any diamond larger than 5 carats is always in demand.
• Demand is slow for 2- and 3-carat stones.
• Demand is normal for 1-carat sizes.
• 50 points and larger are moving well, while 30- to 40-pointers are weaker.
• Quality preferences are D-E in VS/SI, G-J in VVS/VS and K-M in VVS.

India

• Activity is very strong for -2 goods of – 0.01 carats across the board, resulting in extreme shortages.
• Movement is slow for stars, with prices down by 1 to 2 percent.
• Activity is strong for melee goods above I2 clarity and prices are up by 2 to 3 percent.
• 0.08 to 0.18 carats are doing extremely well in I1-I2 and VS+ but SI goods are slow.
• 1/5, 1/4 and 1/3 are doing well in extreme qualities, either very high or very low piqué goods.
• 0.50 carats and halves are showing better movement and VS2+/I+ are doing well. Discounts are stable.
• 0.70 to 0.99 carats are doing extremely well for rounds and fancy cut diamonds across the board, especially for collection goods. There are shortages in 0.80 carats.
• Activity is strong in 1 carat+, especially for premium sizes. There are shortages for better qualities VS1+/H+.
• 2- to 2.99-carat collection goods have picked up movement after a very slow patch.
• 3 carats+ are in excellent demand, causing severe
shortages. Bigger sizes are harder to find.
• Fancy cuts are doing very well in SI+/J+ in sizes across the board. It is difficult to find well-made matched pairs.

Israel

• Pears between 0.70 and 0.90 carats are doing well, with shortages in 1 carat.
• Square cuts are not as hot as they used to be.
• 1 carat and under is moving well in all colors and clarities.
• Demand is good for 2 carats in F+ and VVS+ but other clarities are moving slowly.
• Demand is good for 3 and 4 carats and strong for 5 carats.

Japan

• 3 carats+ continue to be scarce.
• Other than large stones, the market is very quiet.
• As the yen has weakened, buyers are discouraged from buying. Higher precious metal prices also accelerate market weakness.
• Dealers are not willing to stock as they expect trading to stall during July and August and not pick up until the end of September.

Russia

ALROSA’s 22nd auction results:
• $45.2 million worth of diamonds were sold.
• Total weight of the 1,246 stones for sale was more than 21,000 carats.
• The largest diamond in the sale was 135.46 carats.

U.S. Retail

• Top-quality cuts are doing well.
• Diamond hoops are the rage.
• Consumers start researching online but close the deal in a store.
• Word-of-mouth remains the best marketing strategy.
• Yellow stones and gold settings are picking up.
• Platinum is still strong, especially in bridal.

U.S. Wholesale

• Rounds and princess cuts were among top sellers at JCK.
• Micropavés remain popular.
• Demand for natural color diamonds uneven at the show.
• Pear shapes, radiants and emeralds were also in demand.
• Cushions averaging $1,000 in value are selling decently.