Market focused on jewelry retail as Christmas approaches. Brands
targeting female self-purchasers and enhancing omni-channel platforms to drive
growth. Diamond market stable. November 1 ct. RAPI +0.6%, supported by US
holiday demand and preparations for Chinese New Year. Rough trading cautious as
manufacturing profit is tight and inventory high, despite seasonal demand.
Signet Jewelers 3Q sales +3% to $1.2B, net loss of $38M. Christie’s NY fetches
$62.2M (83% by lot), with cushion, 8.08 ct., fancy-vivid-blue, VS2 Bulgari ring
selling for $18M ($2.3M/ct.). Sotheby’s NY sells $46.4M (89% by lot), led by
cushion, 51.52 ct., F, IF Harry Winston ring that sold for $4M ($77,154/ct.).
Fancies: Fancy-shape market stable, driven by US and European demand for
fashion jewelry. Ovals and Cushions are best sellers, followed by Emeralds and
Pears. Supply shortage supporting prices for Pears. Radiants improving.
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. Chinese consumers seeking fancy shapes at better
prices. US supporting market for commercial-quality, medium-priced fancies
under 1 ct. Off-make, poorly cut fancies illiquid and hard to sell, even at
very deep discounts.
United States: Market driven
by last-minute orders before Christmas. General retail holiday sales good, but
slightly down from last year. Dealers starting to see sales of goods sent on
memo. Steady demand for 1 ct., G-I, VS-SI diamonds. Consumers seeking diamond
studs, pendants and bracelets, while stacking and layering remains a strong
fashion trend.
Belgium: Positive
sentiment, with steady last-minute orders for the holiday season. Good European
demand, particularly for 1 to 3 ct., G-K, VS-SI diamonds. Larger fancy shapes
also moving well, with improvement in princess and ovals. Far East buyers price-sensitive
and willing to compromise on color and clarity. Rough trading quiet during
Alrosa sale, which began December 5, and ahead of next week’s De Beers sight.
Israel: Active
trading, but US demand quieter since jewelers are focused on selling rather
than buying. Mediocre Hong Kong show demonstrates selective and price-sensitive
Chinese interest. Large available inventory of 0.30 to 0.40 ct. exerts price
pressure. Steady interest in 1 ct., G-J, VS-SI. Some suppliers closing overseas
offices to cut costs and improve profit margins.
India: Market
improving, with noted presence of Chinese and Israeli dealers looking for
goods. SI3-I1 clarities moving better. Buyers pushing for higher discounts and
prepared to wait for the right price. Manufacturers operating at reduced
capacity, and rough trading restrained ahead of De Beers sight. Local jewelry
market stable during ongoing wedding season.
Hong Kong: Positive
sentiment amid stable polished trading. Last week’s show didn’t stimulate
significant market improvement. Jewelers looking for inventory ahead of Chinese
New Year season. Good demand for 1 ct., D-J, VS-SI (3X, no-fluorescence). Some
concern of slowdown due to weaker currency and impact of trade war.
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