Market Comment

The diamond trade’s trusted bulletin for pricing, trends and news

Weekly since 1980

July 18, 2024

News: Business seasonally slow during summer vacation. India under pressure. Sightholders not expecting De Beers to lower rough prices as it is allowing refusals and larger buybacks at July 22 sight. De Beers will now stop providing individual sight sales data. De Beers exploring options to reduce rough production amid high midstream inventories, with H1 consolidated sales -21% YOY to $2B. Petra FY sales $366M. Rio Tinto Diavik 2Q production -28% YOY to 702K cts. Fiscal 1Q sales at Richemont jewelry brands +2% YOY to $4B. Consolidation continues: JBT reports number of US jewelry businesses -3.6% YOY to 22,760 in 2Q. India H1 polished exports -22% YOY to $7.7B, rough imports -7% YOY to $7.5B.

Fancies: Fancy-shape prices weaker following strong demand last year and overproduction by manufacturers. US buyers more selective about quality of SIs, rejecting black centers and short ratios. Elongated shapes still preferred. Fancies with medium and short ratios harder to sell. Supply shortages supporting prices for Marquises. Cushions slow. Very well-cut fancy shapes hard to find and commanding premiums. Oversizes trading at higher prices than usual. Off-make, poorly cut fancies illiquid.

Country Comments

United States
United States

Market quiet as dealers are in summer slowdown. High-end sales weaker than before. Smaller dealers struggling; larger companies doing okay. Some interest in 4 ct. radiants. Steady short-term memo orders for VS2 to SI2 diamonds, indicating jewelers are hopeful demand will pick up. Shortages of 3X goods with no fluorescence or black center at the price buyers want. US inflation cools to 3% in June.

Belgium
Belgium

Diamond bourses to close for summer from July 26. Rough market slow due to weak polished demand. Industry welcomes De Beers’ extra flexibility for July sight. Indian market downturn affecting sentiment in Antwerp. Larger stones performing better than smaller goods, but prices weak.

Israel
Israel

Trading slow due to challenging business conditions and seasonal lull. Many dealers on vacation. Price declines impacting sentiment. Israelis able to get bargains when buying from India.

India
India

Market sluggish. Chinese demand remains slow. US seasonally quiet. Lack of confidence in diamonds, with customers buying for specific orders and not for inventory. Manufacturers expecting low De Beers sales at July sight as polished inventories are already high.

Hong Kong
Hong Kong

Mainland consumer demand still low as shoppers turn to gold as source of long-term value. Banking crisis impacting sentiment. Dealer market seasonally slow. Chinese customers showing some interest in 0.30 to 1 ct. diamonds.