The Rapaport Market Comment presents the crux of each week’s trends and news in a succinct format. Internally, we call it the “5-liner” because of the space it takes on the Rapaport Price List.
Putting it together is a challenging task: The Rapaport team gathers intelligence from the company’s offices around the world and from conversations with market insiders. We also publish comments on the state of retail and wholesale trading in five key locations around the world: the US, Belgium, Israel, India and Hong Kong.
Looking back at the global reports for the entire year is an excellent way to track how the sector developed. It shows seasonal trends as well as how supply and demand realities fluctuated.
For readers’ benefit, we have compiled an edited summary of these comments for each month of 2024.
January
- Round prices stabilizing but discounts still deep. Fancy-shape prices mixed.
- Labs report synthetic diamonds bearing forged GIA inscriptions.
- Solid trading at India’s IIJS Signature show amid positive outlook for rest of wedding season.
- Rough market for smaller sizes heating up as India import freeze has caused shortages.
- De Beers cuts rough prices by average of 13% at Jan. sight and ends deferral flexibility. De Beers rough still more expensive than open market auctions; sightholders claim De Beers rough still not profitable.
- Dealers cautious about 2024 amid slow US restocking.
- Chinese retail slow ahead of Feb. 10 Lunar New Year.
- Diamantaires moving Hong Kong salespeople back to India.
February
- Luxury retailers report strong 2023 jewelry and watch sales: Swatch Group (Harry Winston, Omega) +6% to $8.7B, LVMH (Tiffany, Bulgari) +3% to $11.8B.
- Uncertainty over implementation of G7 Russia sanctions.
- Round prices rising gradually, with Jan. RAPI for 1 ct. +0.8%, 0.50 ct. +2.4%. Fancy prices in downward trend.
- US buyers purchasing for immediate needs only.
- Fresh diamonds starting to appear in market, as almost two months have passed since India’s rough imports resumed.
- Centurion and AGTA shows see strong attendance but lower sales than last year.
- Indian domestic demand strong.
- China slow as New Year holiday begins.
- OFAC determines that 1 ct. and larger Russian-source diamonds even if cut outside of Russia cannot be imported into the US after Mar. 1.
- WFDB and other trade bodies warn that G7 requirement to ship diamonds through single Antwerp node will harm industry. De Beers backs African producers’ right to certify own goods.
- Strong demand for ex-plan goods at De Beers sight following Jan. price cut; Feb. prices stable.
March
- Market quiet amid seasonal slowdown in US and China.
- Hong Kong shows disappointing, with slow sales and weak Chinese presence.
- SIs improving and IF-VVS qualities slower.
- Indian dealers cautious about offering credit.
- US requiring self-declaration for diamond imports as ban on Russian goods expands to those manufactured in third countries.
- Shipment delays at Antwerp customs due to G7 sanctions, with 146 Belgian companies signing complaint to AWDC.
- Botswana warns that G7 sanctions might harm its diamond industry.
- The Knot says 46% of engagement-ring center stones in 2023 were synthetic diamonds, up from 12% in 2019.
- Men and women flaunt natural diamonds on Oscars red carpet.
- Forevermark to stop supplying loose diamonds and will shift focus to India.
April
- Market slow amid seasonal lull in US and India retail.
- China diamond demand weak.
- G7 sanctions causing confusion.
- Polished buyers demanding exporters provide origin statements even for diamonds under 1 ct., beyond requirements of sanctions.
- Weak demand for round, 0.30 to 2.99, J-L, VVS-VS diamonds. Fancies slow.
- Rough dealers struggling to make premiums on 3-grainer and larger De Beers goods after buying them at high prices.
- Reduced trading activity in US, Belgium and Israel during Passover festival.
May
- Market slower than usual for this time of year.
- Finest-cut fancy shapes strong in larger sizes. Marquises moving well.
- India manufacturing fewer goods ahead of summer vacation.
- Market shaken by reports that De Beers is up for sale.
- BHP abandons Anglo American takeover talks.
- De Beers reduces prices at May sight.
- EU proposes exempting pre-Jan. 2024 rough and pre-Mar. polished from Russian sanctions.
- GemGenève weak, with reduced sales and attendance. Focus shifts to Las Vegas.
- De Beers and Signet to collaborate on natural-diamond marketing.
- De Beers cuts Lightbox prices by up to 40%.
- AWDC supports sanction verification points outside G7.
June
- Las Vegas shows see decent jewelry sales, but loose-diamond dealing mixed. Steady traffic and trading at Luxury, Antique and Couture events.
- De Beers to stop producing synthetics for jewelry, announces plans to manufacture and sell natural polished.
- Polished prices weak, with biggest declines in round, 0.30-0.40 ct., D-H, IF-VS1 goods.
- Secondary rough market sluggish.
- Prices falling, with India under pressure from low sales and rising supply. US sellers doing better as they are not over-inventoried.
- Dealers and jewelers buying on demand only.
- Signet shifts focus of synthetics to fashion jewelry.
- Sluggish trading at June Hong Kong show, with low dealer attendance.
- Chinese consumer confidence in diamonds waning; lack of sales impacting manufacturers.
- EU extends sanctions sunrise period to Mar. 2025 and adds grandfathering rule.
July
- Markets weak, with inventories rising and prices falling.
- Round prices declining; fancies down less sharply.
- Sales declines have outpaced Indian production cuts. GJEPC rules out import freeze; will focus on stimulating demand.
- US dealers buying only for specific needs, even at lower prices.
- US retailers buying selectively and focusing on memo.
- Summer lull in trading centers.
- China demand slow, with retailers selling goods back to the market.
- Manufacturers switching to cheaper, smaller goods.
- De Beers lowers 2024 production plan to 23M-26M cts. from 31.9M cts. in 2023; demand slow and rough prices stable at July sight.
- Rough prices falling on secondary market. Trade awaiting De Beers and Alrosa decisions on pricing and flexibility.
August
- De Beers cancels Aug. sight amid weak demand, moves Oct. sight to Sep.
- India factories extend August vacations to reduce inventories and support prices. Production down sharply in Jul. and early Aug. Polishers prefer to produce melee because it’s easier to sell.
- Kiran Gems to suspend production for 10 days from Aug. 18.
- 0.30-3 ct. weak.
- VS-SI goods doing better than IF-VVS due to US demand.
- Luxury brands struggling.
- De Beers and Tanishq partner to promote diamonds in India.
- GJEPC working with De Beers and Chow Tai Fook to promote diamonds in China.
- IIJS Mumbai signals positive Indian demand for gold and jewelry ahead of Diwali.
- Retail expansion and India’s reduced customs duty on gold help boost trading at show.
- Pandora predicts “vast majority” of diamond sales will be synthetic in 10 years.
September
- Hong Kong show diamond trading meets low expectations.
- Okavango cancels Nov. and Dec. sales.
- India factories reopening at low levels after Aug. break.
- India retail supporting market for smalls ahead of Diwali.
- Alrosa tells customers it will keep rough prices steady and avoid flooding the market, encourages trade to avoid devaluing polished.
- US Federal Reserve lowers interest rates 0.5 percentage points following drops in inflation, raising hopes for consumer spending.
- US stores seeing steady consumer sales but prefer to restock with memo goods due to uncertain market.
- Cautious sentiment at Italy’s Vicenzaoro show, with steady jewelry demand and slow diamond sales.
October
- Markets stabilizing at very high discounts as India stops production for 3 to 4 weeks over the Diwali holiday.
- Local Indian demand for natural diamonds healthy and US market doing well at start of the season.
- Steady demand for round, pear and oval, 2 to 3 ct., D-I, VS2-SI2 diamonds with no strong inclusions.
- De Beers to offer country of origin for rough over 1.25 ct. on Tracr.
- Low production and upcoming Diwali break expected to reduce current high inventory levels.
- Focused demand creating shortages of select better items.
- Fancies and round SI oversizes stabilizing.
- Indian liquidity improving.
- Wholesalers buying selectively.
November
- Diamond prices stabilizing at low levels. Sentiment improving amid steady US holiday sales.
- Midstream inventory falling, with sharpest declines in round, 1 ct., D-K, IF-VVS categories after manufacturers reduced rough imports and polished production.
- US dealers buying less during India’s Diwali shutdown.
- Indian govt. proposes clearer labeling rules for natural and synthetic diamonds.
- G7 node to open in Botswana.
- Federal Reserve lowers interest rates 0.25 percentage points.
- De Beers and Natural Diamond Council urge industry to invest more in marketing.
- Trade bodies in talks to launch marketing fund.
- Strong turnout at Dubai events, reflecting hub’s growing importance.
- Stock market rallying, dollar rising and gold price dropping [after Donald Trump election victory].
- Duma Boko wins Botswana presidential election and signals warmer relations with De Beers as sales deal remains unsigned.
December
- Holiday season okay.
- Dealers and retailers cautious about restocking as they await seasonal sales data.
- US wholesalers focusing on selling rather than buying.
- Low expectations for Chinese New Year (Jan. 29).
- Nov. RAPI: 0.30 ct. +1.6%, 0.50 ct. +1.4%, 1 ct. +0.1% as trend shifts after eight months of declines.
- Indian manufacturers maintaining reduced production as difficult 2024 ends.
- De Beers reduces rough prices 10% to 15%. Alrosa responds with 10% price cut. Manufacturing margins expected to improve.
- Rough market weak, with sightholders making “political” purchases at Dec. sight to secure future supply.
- De Beers’ 2025 supply expected to decline 20%-30%, with reports of about 10 sightholders losing allocations, mostly in producer countries.
- Choron buys AMC, reflecting need for midstream consolidation.
- Strong premiums for round, 2.50 to 2.99 ct. diamonds. Fancies 3 ct. and larger hard to find.
- Lots of Angolan rough on the market.
Image: David Polak/Midjourney
