|
Diamond Trade Hopeful for Polished Price Rebound
RapNet Diamond Index (RAPI™) for 1ct. Continues to Soften
Mar 1, 2017 4:18 AM
By Rapaport
|
|
RAPAPORT... PRESS
RELEASE, March 1, 2017, New York… Diamond trading this February was slower than
in previous years, with buyers pushing for deeper discounts and suppliers expecting
firmer prices at the Hong Kong show. Sentiment improved, as dealers anticipate U.S.
and Chinese jewelers will start replacing inventory sold during the holiday
seasons.
The RapNet
Diamond Index (RAPI™) for 1-carat polished diamonds declined 0.3% in
February and was down 1.2% from the beginning of the year.
©
Copyright 2017, Rapaport USA Inc.
The
Rapaport Monthly Report – March 2017 notes that polished inventories are rising
as major manufacturers return to full polished production following strong rough
buying in January and February. Rough demand was steady, with De Beers February
sight valued at $545 million, following a large $720 million January sale. Profit
margins tightened in 2017 as rough prices firmed and polished prices softened.
The effect
of India’s demonetization policy has stabilized. Smaller diamond and jewelry
companies must improve transparency and shift to electronic payments. Higher governance
and compliance standards in all industry centers will enable greater bank
financing and improve profitability.
Greater
investment in marketing will raise consumer demand and ensure long-term
profitability. Larger marketing budgets are required to strengthen the status
of natural diamonds as an emotional store of value, following disappointing
sales during the Christmas and Chinese New Year seasons.
Hopes are
high for the Hong Kong show, as jewelers are expected to return to the market. Rough
sales are projected to slow as a large volume of new polished supply hits the
market in the second quarter. Suppliers hope polished prices will increase, enabling
a return to profits. Excess supply may put a strain on midstream inventory if
the expected rise in polished demand doesn’t materialize.
The
Rapaport Monthly Report is available at store.rapaport.com/monthly-report.
Rapaport
Media Contacts: media@diamonds.net
U.S.:
Sherri Hendricks +1-702-893-9400
International:
Gabriella Laster +1-718-521-4976
Mumbai: Priyanka
Vaidya +91-97699-38102
About
the Rapaport RapNet Diamond Index (RAPI™): The RAPI is the average asking price
in hundred $/ct. of the 10% best-priced diamonds, for each of the top 25
quality round diamonds (D-H, IF-VS2, GIA-graded, RapSpec-A3 and better) offered
for sale on RapNet – Rapaport Diamond Trading Network. www.RapNet.com has daily listings of over 1.2
million diamonds valued at approximately $8 billion. Additional information is
available at www.diamonds.net.
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 16,300 clients in over 120 countries. Group activities
include Rapaport Information Services, providing the Rapaport Price List,
research, analysis and news; RapNet – the world's largest diamond trading
network; Rapaport Laboratory Services, providing GIA and Rapaport gemological
services in India, Belgium and Israel; and Rapaport Trading and Auction
Services, specializing in recycled diamonds and jewelry. Additional information
is available at www.diamonds.net.
|
|
|
|
|
|
Tags:
Rapaport
|
|
|
|
|
|
|
|
|
|