Market Comment

News: Sentiment weak amid trading slump. Prices declining as dealers try to reduce inventory. Economic caution lingers; US inflation 4.9% in April. Majors and top-tier independents that can adapt to shifting consumer habits are gaining market share and demonstrating strength of US market. GemGenève show opens with hopes that robust high end will raise general activity. Part 1 of Heidi Horten collection auction raises $156M at Christie’s Geneva; cushion-cut, 25.59 ct. Sunrise Ruby ring misses presale estimate at $14.6M. WFDB pledges financial support for Natural Diamond Council. Industry mourns passing of Zvi Yehuda, inventor of Sherlock Holmes synthetic-diamond detection machines.

Fancies: Fancy-shape market slower than before but better than rounds. Elongated Ovals, Emeralds and Radiants are strongest items. Goods with medium and short ratios weak. Demand for cushions declining. 0.30 ct. doing well. Orders low for 0.70 to 1.20 ct. diamonds. VS-SI losing strength, except in 1.20 to 1.49 ct. Well-cut stones seeing supply shortages. Excellent shapes commanding premiums. Retailers offering broader product ranges as consumers seek alternative cuts. Oversizes trading at higher prices than usual. Off-make, poorly cut fancies illiquid and difficult to sell.