MarketComment
Featured
February 13, 2025
News: Industry seeking clarity on newUS customs rules requiring mine source and on Donald Trump’s Canada tariffplan. Rough market cautious ahead of Feb. 24 De Beers sight, with dealersunsure about lower prices. Polished market mixed: Diamonds with ideal proportionsand no black center are in short supply, but other qualities over-inventoried.Good market for -2 melee; +11 weak. Elongated cushions hard to find. Indiamanufactured more synthetic diamonds than natural by carat volume in Jan.Indian domestic jewelry demand softening as gold price breaks $2,900/oz. andwedding season nears end. Botswana predicts 3.3% GDP growth in 2025 and expectsdiamond market recovery in “latter part” of year.
Correction, February 16, 2025: The next De Beers sight begins on February24, not February 17, as incorrectly stated in a previous version of thisRapaport Market Comment.
Fancies: Large fancy shapes doing betterthan rounds. Prices stable overall, and firm for 3 ct. and larger diamonds.Better stones are hard to find. Solid US interest in elongated Ovals with goodshape and quality in D-I, VS-SI categories. Elongated Emeralds, Radiants andPears in 2.50 to 2.99 ct. sizes trading at significant premiums. Oval and Pear,0.30 to 0.49, F-I, VS diamonds in demand. Ovals 5% to 10% more expensive thanPears in US market. Supply shortages supporting prices for Marquises. SquareCushions slow. Very well-cut fancy shapes difficult to find and commandingpremiums. Off-make, poorly cut fancies illiquid.
United States:
Trade reflecting on first-quarter shows, with mixed reviews fromCenturion and AGTA GemFair. High end doing better than mid-market segment.Colored-gemstone dealers happier than diamond companies. Steady demand for1.20, 1.70 and 2.50 ct. rounds and fancies with G-I, VS-SI2 quality. Goodmarket for 2 ct. and larger elongated ovals. January’s 3% inflation figurecausing concern.
Belgium:
Lack of confidence in the market. February has been slower than January.Traders don’t expect business to recover soon. Good traffic at rough tenders,with focus on upcoming De Beers sight. Well-made fancy shapes in short supply.Gemstones doing better than diamonds.
Israel:
Local market slow. Concerns about US import requirements and possibilityof Trump tariffs on Canadian goods. Industry watching De Beers’ pricingstrategy at next week’s sight.
India:
Activity low amid mixed US demand and lack of orders from China. Domesticjewelry demand weaker than before. Manufacturing still below capacity. Januarynet polished exports down 12% year on year at $757.2 million after returns,with net rough imports falling 37% year on year to $697.4 million. Many smalltraders are not active in the market.
Hong Kong:
Market seasonally quiet after Lunar New Year. Not much retail activity atthis time of year. Dealers gradually returning. Chinese jewelers focusing ononline sales, which show steady demand for low-budget goods such as pearls andgemstones. Competition from synthetics is increasing, as consumers lackconfidence in diamonds as an investment. Engagement and wedding jewelrysupporting natural segment.
