RAPAPORT...
Antwerp • Generally, pointers are holding steady, especially in better quality of VS+,
H+, where prices are firm. SI goods are quite stable, but demand is
weaker.
• Prices of 5 carat+ round in better-quality VS1+, G+, have increased by
an average of 6 to 7 percent, sometimes up to 10 percent, which has
caused some price resistance in the past month. Buyers appear to be
holding off on purchases.
• U.S.-type piqué goods are reported to be quieter across the board in
recent months.
China • Overall demand is good for 0.30- to 0.70-carat H+/VS+.
• Demand has exceeded supply for G+, VS, ½-carat, fine-make diamonds
with GIA certificates, especially Triple EX goods.
• Larger stones in 1 carat+/VS+/H+, GIA-certified and fine make, sell very
well.
Hong Kong • Shortages in large diamonds maintain strong demand and demand for
exceptional stones is still extremely strong. However, buyers are
beginning to be more concerned about budgets and choosing larger
discounts over better grades in cut, polish and symmetry.
• Fluorescence is still a problem in diamonds of higher grades but becoming
more acceptable in either lower clarities or colors.
India • Activity in the polished market was comparatively slow in May since most
companies have shut down trading operations until the start of the summer
holidays the first week of June.
• The depreciation of the Indian rupee against the U.S. dollar has created
further uncertainty in local market transactions, leaving dealers hoping for
a stable dollar.
• The main demand in the local market is for small goods — stars and
melees — with severe shortages in these categories across the board.
• Overall demand is stable across the board for goods smaller than 0.18
carats.
• Big manufacturers are busy preparing for the JCK Las Vegas show,
hoping to sell their inventory of better 1-carat+ goods and fancy colored
diamonds.
• Activity is better in SI category for goods above 0.50 carats in J+.
• Demand is stable for better 1-carat+ goods in SI1+/I+.
• There are shortages in large fancies across the board.
Israel • 1- carat stones are seeing new demand.
• Demand for small sizes is rising, especially for goods in SI1 to VVS1.
• 2-caraters+ are on an up trend after a stable period.
• Trade is stable in Hong Kong, with continued good demand for clean
goods and large diamonds.
• More very big diamonds of 10 carats+ have appeared in the market in
the past few weeks, but they still carry very high asking prices.
Japan • 4/4-grainers in SI1 and better grades are steadily increasing in price.
• 4/4-grainers in piqué and SI qualities, 6/4-grainers in SI2 qualities and ½-
grainers in piqué qualities are moving relatively well because of stable
supply.
• 3- and 5-carats and larger stones of VS qualities and better colors are
difficult to find.
• Pointers of SI qualities are weak, especially 30 pointers.
• Fancy shapes of well-made stones are strong, while poorly made stones
are sold at a huge discount.
• Heart-shaped pointers are very popular.
• Capes of 4/4-grainers and 2-caraters are weak, while 3-caraters+ are
sustaining their prices.
• Smaller star-size melees are expensive.
Russia
• Russia’s ALROSA and Diamond Chamber sold
$34 million worth of diamonds at the 28th diamond auction and 46
companies participated. The 91 lots sold for 140 percent of the pre-
auction value.
• One lot was sold at a record-setting price of $42,000 per carat.
• The buyers were offered 623 stones weighing over 10,400 carats.
• Eight stones weighed more than 50 carats.
U.S. Retail • The best-selling cut for engagement rings is still round, with princess cuts
coming in a strong second.
• The most popular carat weight is 1 carat.
• VS2 is the most-asked-for clarity, and SI1 is the second most popular
choice.
• The top colors are F first, followed by G.
• While retailers are still seeing some play in platinum, 14-karat white gold
is by far the best-selling metal for settings, due to its more affordable
price. Palladium is getting stronger, and yellow gold accounts for only a
tiny percentage of sales.
• The average price for an engagement ring, including stone and setting, is
$6,400, though many stores are seeing regular sales in the $10,000 range.
U.S. Wholesale• Marquises are seeing increased interest.
• Demand for pears has slowed.
• Rounds continue to be the strongest sellers.
• Demand for good-quality, 2-carat stones is picking up.
• Sales of 4-carat+, high-quality goods remain extremely strong.
Article from the Rapaport Magazine - June 2008. To subscribe click here.