Diamond Prices Weak in Sluggish Market

RAPAPORT PRESS RELEASE, June 4, 2024, Las Vegas… The diamond market was slow in May, as US demand was mixed and China remained weak. Anglo American’s plan to separate from De Beers created extra uncertainty.

Prices of IF to VS diamonds fell. SI1s were mixed, and SI2s continued to recover. Fancy shapes were sluggish, except for premium makes.

The RapNet Diamond Index (RAPI™) for 1-carat goods — reflecting round, D to H, IF to VS2 diamonds — dropped 3.8% in May. Prices for round, 1-carat, D to H, SI diamonds decreased 0.6%. 

© Copyright 2024, Rapaport USA Inc.

The Las Vegas fairs saw good traffic and trading in the jewelry sections — especially at the Luxury and Antique Jewelry & Watch shows — reflecting the importance of design and branding. Exhibitors in the loose-diamond section of JCK Las Vegas were cautious, as buyers pushed hard on prices. Demand was steady for round, 1- to 2-carat, G to J, SI diamonds. The high-end GemGenève show in Switzerland was slow.

Synthetics, high interest rates and inflation continued to impact US consumer demand. Buyers were selective, insisting on stones with no fluorescence and no brown, green or milky (BGM) tints. The elevated cost of inventory financing perpetuated retailers’ preference for memo.

De Beers reduced prices of 3-grainer (0.75-carat) and smaller rough by 4% to 6% at its May sight, with 4- to 6-grainers (1 to 1.50 carats) down by about 4%. This helped address a mismatch with polished prices, but sightholders still struggled to profit.

Anglo American announced it would divest or de-merge De Beers, raising concerns that a new owner might not protect the stability of prices and midstream inventory. Worries about Group of Seven (G7) sanctions eased somewhat as the US and Belgium cooled on plans for a single inspection point in Antwerp.

The focus shifted to the holiday season. Marketing will become increasingly important as the industry competes with other luxury categories and continues to differentiate natural from synthetics.

Media Contacts: [email protected]

US: Sherri Hendricks +1-702-893-9400

International: Avital Engelberg +1-718-521-4976

About the RapNet Diamond Index (RAPI™): The RAPI is the average asking price, in hundred dollars per carat, of the 10% lowest-priced round diamonds in each of the top 25 quality categories (D-H, IF-VS2, GIA-graded, RapSpec-A3 and better) offered for sale on RapNet® (www.rapnet.com). Additional information is available at www.rapaport.com.

About the Rapaport Group: The Rapaport Group is an international network of companies providing added-value services that support the development of ethical, transparent, competitive and efficient diamond and jewelry markets. Established in 1976, the group has more than 20,000 clients in over 120 countries. Group activities include Rapaport Information Services, providing the Rapaport benchmark Price List for diamonds, as well as research, analysis and news; RapNet, the world’s largest diamond trading network, with daily listings of over $8 billion; and Rapaport Trading and Auction Services, the world’s largest recycler of diamonds. Additional information is available at www.rapaport.com.