Advanced Search

Rapaport Weekly Market Comment

Aug 2, 2018 10:59 AM   By Rapaport News
Email Email Print Print Facebook Facebook Twitter Twitter Share Share
TRADE ALERT: New US Federal Trade Commission guidelines still require full disclosure for lab-grown diamonds. While the FTC expanded the definition of the word “diamond” to include synthetics, it continues to restrict the use of the word “diamonds” to natural diamonds unless it is immediately preceded by a phrase that clearly discloses the product is not a mined diamond. News: Trading centers quiet, with Antwerp and Israel shutting for summer vacation. Polished prices soften in seasonal slowdown, with 1 ct. RAPI -0.4% in July. Rough premiums cool to 4% after $530M De Beers sight. Rio Tinto 1H diamond sales -5% to $323M. Swatch Group pulls out of Baselworld 2019.

Fancies: Far East demand improving as Chinese consumers seek Pears and Princesses at better prices. US and European demand mixed. Ovals and Cushions are best sellers, followed by Emeralds and Pears. 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. Off-make, poorly cut fancies illiquid and hard to sell, even at very deep discounts.

United States: Slow polished trading. New York JA and Antique shows didn’t attract much attention. Inventory levels rising, with dealers hoping for strong improvement during fourth-quarter holiday season. Stable demand for dossiers. Upward trend in cushion brilliants, as jewelers focus on bridal during summer wedding season.

Belgium: Very little activity, with most diamantaires on summer vacation. Bourses closed from July 30 to August 20. Some Antwerp-based Indian dealers in Mumbai looking for goods.

Israel: Trading seasonally quiet as dealers prepare for summer break. Bourse to close from August 5 to 17. Steady orders for 1 ct., F-H, VS1-SI1, RapSpec A2+ diamonds, with prices firming. Rising inventory of 0.30 to 0.49 ct., D-F, IF-SI2s. Concern about synthetics fraud after bourse member suspended for diamond swapping.

India: Some improvement as other trading centers take vacation. Buyers from China, Belgium, Israel and US in Mumbai looking for goods. Low expectations for next week’s IIJS show (August 9 to 13), amid stagnant domestic demand due to weaker rupee. Manufacturing margins squeezed after rough prices rise 4% in first half, while polished softened during July quiet. Rough trading slows after De Beers sight.

Hong Kong: Stable market. Dossiers selling better than 1 ct. and larger, reflecting sales in retail sector. 0.30 to 0.50 ct. are strongest sizes. Buyers shifting to lower J-M colors. Buyers cautious due to yuan depreciation, waiting for September Hong Kong show to assess prices. Retail sentiment positive after strong first-half growth, but some concern about impact of US-China trade tensions.
Comment Comment Email Email Print Print Facebook Facebook Twitter Twitter Share Share
Tags: Rapaport News
Similar Articles
© Copyright 1978-2019 by Martin Rapaport. All rights reserved. Index®, RapNet®, Rapaport®, PriceGrid™, Diamonds.Net™, and JNS®; are TradeMarks of Martin Rapaport.
While the information presented is from sources we believe reliable, we do not guarantee the accuracy or validity of any information presented by Rapaport or the views expressed by users of our internet service.