|
|
Rapaport Weekly Market Comment
Mar 17, 2016 11:00 AM
By Rapaport News
|
|
|
Rounds: Big-stone
demand uncertain as Basel show opens. Finest cut large diamonds in short supply
and selling but lower qualities weak. Rough auction prices too high and trading
cooling off as polished production increases. ALROSA 2015 revenue +8% to $3.3B,
profit of $471M vs. loss of $246M in 2014. Gem Diamonds 2015 revenue -8% to $271M, profit +57% to $52M. China’s
2015 polished imports -14% to $6.7B, exports -21% to $2.2B. U.S. Jan. polished
imports -3% to $1.8B, exports -9% to $1.3B. India’s Feb. polished exports +2%
to $2.3B, rough imports +37% to $1.6B. Sotheby’s to auction Lucara’s
1,111ct. Lesedi La Rona rough diamond. De Beers
launches U.S. diamond reselling business.
Fancies: Pears and Ovals in short supply due to limited
production. Emeralds improving. Fairly good market for large top-quality
fine-cut fancy shapes but buyers are extremely picky and supply is very tight.
Cushions steady, Princess and Hearts slow. Overall fancy shape prices
relatively soft. U.S. demand supporting market for commercial-quality fancies,
especially for sizes under 1ct. Far East fancy demand weak. Buyers are very
selective and insisting on excellent-shape proportions. Significant price
differentials between excellent- and average-cut fancies. Off-make, poorly-cut
fancies illiquid and very hard to sell, even at very deep discounts.
United States: Polished trading steady. Large-volume suppliers
find it difficult to replace inventory with shortages of the right goods.
Dealers are looking for stock but also concerned about potential polished
oversupply as new goods enter the market. Steady demand for 1-3ct., G-H, SI1-I1
diamonds. Large-stone market relatively weak. Light traffic at JA show with
little interest from diamond dealers and wholesalers.
Belgium: Mixed sentiment in Antwerp. Steady demand and tight
supply for top-quality RapSpec A2 diamonds. Lower qualities difficult to sell
and stuck in inventory. Good demand for 1ct., H, SI. Stable demand for
0.30-0.70ct., D-M, VS-SI diamonds. 3ct.+ weak with buyers pushing for better
discounts. Rough trading stable with rising concern about high auction
prices.
Israel: Improved
sentiment after Hong Kong show but trading relatively quiet. Suppliers holding
back on goods and using memo to sell to end consumers where they can get better
prices than on the dealer market. Stable demand for RapSpec A2+ 0.30-1.99ct.,
D-H, VS-SI diamonds. Mixed sentiment among large-stone dealers with many at
this week’s Basel show. Fancy shapes steady with good demand for better-quality
ovals, pears and emeralds. Rough demand steady despite high auction
prices.
India: Polished trading quiet and activity slowed after
Hong Kong show. Suppliers left with large inventory of lower-quality goods that
are difficult to sell. Domestic market in upheaval with jewelers striking
against government 1% excise tax and introduction of new tax authority into
jewelry industry. Diamond manufacturers supporting jewelers with one-day
strike on March 17. Manufacturers slowly increasing polished production with
inventory levels marginally higher. Rough trading slowed following Jan./Feb. hype
with premiums on the secondary market stable at mid-single digit percentages.
Hong Kong: Trading steady and sentiment improving. Last
week’s show provided momentum to the market. Stable demand for 0.30-1ct., G-J,
VS-SI diamonds. Improving demand from Hong Kong-based jewelers but local retail
market remains cautious. Demand from Mainland China is selective and limited to
filling orders. Limited inventory purchases.
See www.diamonds.net/Prices/RapaportSpecs.aspx
for full explanation of Rapaport Diamond Specifications.
|
|
|
|
|
|
|
|
|
|
Tags:
Rapaport News
|
|
|
|
|
|
|
|
|
|
|