|
|
Rapaport Weekly Market Comment
Oct 31, 2019 11:03 AM
By Rapaport News
|
|
|
Polished trading improving as jewelers prepare
holiday inventory. US demand supporting the market. China cautious due to trade
war and Hong Kong unrest. Luk Fook 2Q same-store sales -37%. Indian dealers and
manufacturers on Diwali vacation. Specific demand creating high inventory of
less popular qualities. De Beers 2018 global market estimate finds rough sales
+3% to $16.9B, production volume -3% to 154M cts. and value +2% to $17.4B,
polished demand +2% to $25.3B, diamond-jewelry demand +2% to $76B. Insight
Report outlines changing attitudes toward love and their impact on the
industry. LVMH makes $14.5B offer to acquire Tiffany & Co.
Fancies: Fancy
shapes soft, reflecting slowdown in overall demand. High-end collection goods
weak as dealers and consumers shift to lower price points. Some brands with
requests for high qualities are paying a premium for rare items and very
well-made fancies. Pears and Ovals are the strongest shapes. Ovals for fashion
jewelry moving well in 1.50 and 2 ct., G-H, VS and H-K, SI2. Marquises and
Princesses weak despite reduced manufacturing. US sustaining market for
commercial-quality, medium-priced fancies under 1 ct. Chinese consumers seeking
fancy shapes at better prices. Off-make, poorly cut fancies illiquid and hard
to sell even at very deep discounts.
United States: New
York Diamond Dealers Club busy during Israel Diamond Week. Buyers looking for
profitable goods that are liquid. Dealers holding large volume of less popular
diamonds. Steady demand for 1 ct.,
G-J, VS2-I1 stones. Jewelry retailers starting to implement holiday sales
strategies.
Belgium: Sentiment
cautious amid dealer concerns about state of the industry and global economic
developments. Consistent demand for 1 to 2 ct., G-H, SI2, GIA-certified
diamonds. Pears and ovals are strongest fancy shapes. Other categories weak. Fewer
rough goods available than usual. Suppliers careful to give credit due to tight
manufacturer liquidity.
Israel: Positive
activity in the bourse as suppliers focus on filling US holiday orders. Foreign
buyers looking for goods in Ramat Gan while Indian dealers are on vacation.
Chinese demand slow. Improved market for 0.30 to 0.49 ct., D-G, IF-VS2. Shortages
in nonfluorescent RapSpec A3+, SI diamonds due to reduced manufacturing.
India: Market
quiet with businesses closed for Diwali break, which began October 27. Mumbai
supply offices expected to remain shut for two weeks. Surat factories closed
until late November. Some smaller units extending vacation due to weak market
conditions.
Hong Kong: Dealer
trading sluggish as ongoing protests and trade-war uncertainty affecting
business. Some confidence in engagement-ring category, with steady demand for 1
ct., D-H, VS-SI, VG+ stones. Retailers under pressure due to political climate
and seeing steep declines in Hong Kong sales. Jewelers discounting heavily to
boost turnover, but very few tourist shoppers around to take advantage.
|
|
|
|
|
|
|
|
|
|
Tags:
Rapaport News
|
|
|
|
|
|
|
|
|
|
|