Market Comment

News: Diamond trading slow amid weak demand and declining prices. 1 ct. RAPI -3.1% in Nov. Some categories stabilizing; smalls stronger than larger certified goods. Manufacturers reducing production due to high inventory. Rough market cautious ahead of Dec. 6 De Beers sight. Retail optimistic as NRF reports record foot traffic and digital sales over Thanksgiving weekend. Adobe estimates US e-commerce +6% to $11.3B on Cyber Monday. China weak; Hong Kong improving. Christie’s withdraws emerald-cut, 13.15 ct., fancy-vivid-pink, VVS1 stone from next week’s NY auction, sells $46M (86% by lot) in HK, including necklace with 52 round, D, IF diamonds (104.84 total cts.) for $5.9M ($56,493/ct.).

Fancies: Fashion driving demand for elongated Ovals, Emeralds and Radiants. Goods with medium and short ratios are weak and declining in value. Slow market for 0.30 to 1.20 ct. diamonds. 1.25 ct. and larger, F-J, VS-SI categories stable. Supply shortages of well-cut fancies supporting prices. Oval is leading shape, followed by Radiant, Emerald, Pear, Cushion and Marquise. Retailers offering broader product ranges as consumers seek alternative cuts. Excellent shapes commanding premiums. Oversizes trading at higher prices than usual. Off-make, poorly cut fancies illiquid and difficult to sell.