Polished diamond prices increased in December
Although in 2015 the price of rough unpolished diamonds fell by about 15% in November and December they began to increase once again. The suppliers of rough have been increasing prices which had the polishing industry using up the reserves they had on hand. And they also decreased the numbers of diamonds being polished. De Beers has had dramatic a dramatic downward price adjustment in the rough during 2015 as much as 45% off the highs in the market. Production of polished diamonds has begun to rise and jewelry manufacturers are still unsure if the prices will continue to trend this way as demand is not stable. The overall market appears to be challenged for profit margins and as rough prices are higher than polished stones.
Polished diamond market sentiment improved in December as shortages supported prices and dealers filled last-minute holiday orders.
The RapNet Diamond Index (RAPI™) for 1-carat, GIA-graded diamonds rose 1.5% in December while RAPI for 0.30ct diamonds advanced 4.7% and RAPI for 0.50ct diamonds grew 3%. RAPI for 3-carat diamonds fell 0.1%. For the full year 2015, RAPI for 1ct diamonds declined 5.8% and RAPI for 0.30ct diamonds dropped 13.%, while RAPI for 0.50ct diamonds slumped 14.5%. RAPI for 3ct diamonds fell 14.5ct% in 2015.
The Rapaport Monthly Report notes that there is a shortage of select diamonds as suppliers gradually sold off better-quality inventory and manufacturers limited polished production due to high rough prices. READ MORE…