News: Diamond markets under pressure. US luxury jewelers doing well, but middle markets over-inventoried and seeing slow sales. Signet share price down 17% over past week after advisory reflecting market slowdown. US inflation drops to 4% in May and Federal Reserve freezes interest rates, easing economic concerns. Major HK brands recovering, but overall Chinese demand slow. Chow Tai Fook sales +38% in April and May as tourists return. Okavango sells $101M of rough in June at lower prices after withdrawing goods in May. Cushion, 10.57 ct., fancy-vivid-purplish-pink, IF diamond fetches $34.8M ($3.3M/ct.) at Sotheby’s NY.
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.
United States:
Jewelry market mixed. Economic uncertainty affecting buying in low- to mid-income demographics. Luxury sector strong due to increased discretionary spending among wealthy Americans. Signet says drop in bridal orders likely to affect higher price points. Growing demand for synthetics in bridal is greatly damaging US natural-diamond sales. Steady interest in fancy-shape, 3 ct.+, H-I, SI diamonds.
Belgium:
Dealers returning from Las Vegas report positive sales of high-end items but weak market for commercial goods. Clients only buying to fill specific orders. Price declines not yet boosting activity; US and China demand slow. Expectations for September recovery. Rough sector assessing impact of lower supply following cancellation of recent De Beers auction and Petra Diamonds tender.
Israel:
Sentiment low amid softening prices. Las Vegas shows had minimal positive impact. Dealers only purchasing when there is confirmed demand from a customer.
India:
International demand down. Local markets supporting trade. US and Chinese buyers not placing larger orders. 0.50 to 3 ct. diamonds slow, especially in lower colors and clarities. SI goods losing steam. Well-cut fancies moving better than rounds. Manufacturers have reduced production.
Hong Kong:
Activity still sluggish amid weak mainland economy. Resumption of travel has had limited effect. Smaller dealers preparing to take early summer vacation. Steady appetite for 1 ct., D-J, VS diamonds in local and mainland markets. Chinese suppliers have increased their inventory ahead of summer sales season. Low expectations for small-scale Jewellery & Gem Asia Hong Kong show (June 22 to 25). Trade optimistic that situation will improve in time for international September fair.
Market Comment
News: Diamond markets under pressure. US luxury jewelers doing well, but middle markets over-inventoried and seeing slow sales. Signet share price down 17% over past week after advisory reflecting market slowdown. US inflation drops to 4% in May and Federal Reserve freezes interest rates, easing economic concerns. Major HK brands recovering, but overall Chinese demand slow. Chow Tai Fook sales +38% in April and May as tourists return. Okavango sells $101M of rough in June at lower prices after withdrawing goods in May. Cushion, 10.57 ct., fancy-vivid-purplish-pink, IF diamond fetches $34.8M ($3.3M/ct.) at Sotheby’s NY.
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.
Jewelry market mixed. Economic uncertainty affecting buying in low- to mid-income demographics. Luxury sector strong due to increased discretionary spending among wealthy Americans. Signet says drop in bridal orders likely to affect higher price points. Growing demand for synthetics in bridal is greatly damaging US natural-diamond sales. Steady interest in fancy-shape, 3 ct.+, H-I, SI diamonds.
Dealers returning from Las Vegas report positive sales of high-end items but weak market for commercial goods. Clients only buying to fill specific orders. Price declines not yet boosting activity; US and China demand slow. Expectations for September recovery. Rough sector assessing impact of lower supply following cancellation of recent De Beers auction and Petra Diamonds tender.
Sentiment low amid softening prices. Las Vegas shows had minimal positive impact. Dealers only purchasing when there is confirmed demand from a customer.
International demand down. Local markets supporting trade. US and Chinese buyers not placing larger orders. 0.50 to 3 ct. diamonds slow, especially in lower colors and clarities. SI goods losing steam. Well-cut fancies moving better than rounds. Manufacturers have reduced production.
Activity still sluggish amid weak mainland economy. Resumption of travel has had limited effect. Smaller dealers preparing to take early summer vacation. Steady appetite for 1 ct., D-J, VS diamonds in local and mainland markets. Chinese suppliers have increased their inventory ahead of summer sales season. Low expectations for small-scale Jewellery & Gem Asia Hong Kong show (June 22 to 25). Trade optimistic that situation will improve in time for international September fair.
Share
Share with others