Polished trading seasonally quiet. Asian
demand driving activity during US vacation period. Chinese buyers shifting to
lower colors amid yuan currency devaluation (-4% since June 1 to CNY 6.67/$1).
Weaker yuan will also impact tourist jewelry shopping. Dossiers selling well,
with good orders for 0.50 ct., D-M, VS-SI, RapSpec A2+ diamonds. Polished
suppliers maintaining steady prices after rough-price hikes. Miners limiting
2018 supply after global 2017 KP rough
production +29% to $15.9B, volume +19% to 151M cts., average price +8% to
$105/ct. Alrosa 1H sales estimated +8% to $2.7B. Petra Diamonds sells
76% stake in Kimberley operations to Ekapa Mining for $22M.
Fancies: Fancy
shapes mixed, with curves better than squares. Ovals hot, followed by Emeralds,
Pears and Cushions. Marquises and Princesses weak. Oversizes selling well.
Steady demand for fine-quality 6 to 10 ct. Ovals, Pears and Emeralds, with
prices firming for 3 to 5 ct. due to shortages. US supporting market for
commercial-quality, medium-priced fancies under 1 ct. Far East demand improving
as consumers seek fancy shapes at better prices. Off-make, poorly cut fancies
illiquid and hard to sell, even at very deep discounts.
United States: Trading
quiet, with dealers on vacation. Activity expected to remain slow through July
and August. Buyers looking for bargains over summer, but suppliers maintaining
firm prices. Retailers insisting on memo rather than buying. Jewelry sales
steady, with seasonal bridal demand during ongoing wedding period.
Belgium: Stable
market, with good orders for 0.30 to 0.50 ct. and 1 ct., F-H, VVS-SI dossiers.
RapSpec A2, 3X, no-florescence are fastest sellers. Below 0.30 ct. weakening.
Larger fancy shapes with high color and nice cut for European high end doing
well. Dealers cautious about buying too much inventory before August
vacation.
Israel: Trading
subdued due to US vacation. Solid Chinese demand, with shift toward J-L-color
goods. 0.30 and 1 ct., G-L, VVS2-SI2 moving well, along with 0.50 ct. diamonds
of all colors and clarities. Availability of 1 ct. rising. Manufacturers
concerned about high rough prices and tight profit margins.
India: Sentiment
down somewhat as rupee currency devaluation (-7% since Jan. 1 to INR 68.8/$1)
affects local transactions. Buyers cautious due to higher polished prices and
weaker exchange rate. Suppliers maintaining prices with slightly lower polished
production. Steady interest in 1 ct., J-L, SI1-I2 diamonds. Rise in
availability of 0.50 ct., D-H, IF-VS stones.
Hong Kong: Trading
relatively quiet since June show. Chinese buyers restrained amid yuan
devaluation. Shift to smaller and cheaper goods, with stable demand for lower
colors. Jewelers holding relatively large inventory after strong 1H buying.
Retailers raising promotional activity to boost summer sales.
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