Market Comment

News:

US shakes market with announcement of minimum 10% tariffs on all countries and 27% on India. India rate is higher than expected and will severely affect polished trade. Sector braces for impact of 20% duty on EU goods and 34% on China. Prices rising for 0.01 to 0.50 ct., D-G, IF-VS2 diamonds. India inventory steady at low levels. US wholesalers struggling to find desired goods and have been cautious about buying from India due to possible tariffs. Rough market firming, with rare premiums of 3% to 7% on De Beers’ 5 to 10 ct. boxes amid shortages. Secondary market for smaller rough still slow, with difficulty reselling even at cost. De Beers relaunches auction business with closed-bid tender.

Fancies:

Large fancy shapes doing better than rounds. Prices stable or increasing for 2 ct. and larger diamonds. Better stones hard to find. Solid US interest in elongated Ovals with good shape and quality in D-I, VS-SI categories. Elongated Emeralds, Radiants and Pears in 2.50 to 2.99 ct. sizes trading at significant premiums. Oval and Pear, 0.30 to 0.49 ct., F-I, VS diamonds in demand. Ovals 5% to 10% more expensive than Pears in US market. Supply shortages supporting prices for Marquises. Square Cushions slow. Very well-cut fancy shapes difficult to find and commanding premiums. Off-make, poorly cut fancies illiquid.