Rapaport Press Release: Diamond Prices Soften Despite US Stability
May 7, 2019
1 ct. RAPI -0.5% in April
LAS VEGAS–(BUSINESS WIRE)–Polished-diamond prices declined in April due to continued oversupply
and selective Far East demand. US jewelry sales remain firm, helping to
support the global trade.
The RapNet Diamond Index (RAPI™) for 1-carat diamonds slid
0.5% in April. The index has fallen 1% so far this year, and 3% since
May 1, 2018.
| RapNet Diamond Index (RAPI™) | |||||||||||||||
| April |
Year to date |
Year on year |
|||||||||||||
| RAPI 0.30 ct. | -1.9% | -5.9% | -12.8% | ||||||||||||
| RAPI 0.50 ct. | -1.1% | -1.2% | -4.0% | ||||||||||||
| RAPI 1 ct. | -0.5% | -1.0% | -3.0% | ||||||||||||
| RAPI 3 ct. | -1.6% | -6.1% | -9.3% | ||||||||||||
© Copyright 2019, Rapaport USA Inc.
Large inventories of lower-quality old goods are available, and
suppliers are willing to discount them to raise cash. Liquidity is
tight, as Indian credit lines declined after the March 31 fiscal
year-end. Manufacturers reduced rough purchases in the first quarter,
hoping to ease liquidity concerns by depleting polished stock.
Combined rough sales by De Beers and Alrosa dropped 19% by volume and an
estimated 30% by value in the first quarter. Mining companies are
planning to reduce supply, with global production down approximately 6%
during the period.
Polished supply continues to rise. The volume of diamonds listed on
RapNet as of May 1 was up 7% since the beginning of the year, coming to
1.6 million stones valued at $8.23 billion. RapNet listings have grown
22% over the past 12 months, with a significant increase in 0.30- to
0.50-carat, G-J, VS-SI diamonds.
US demand for 1.00 to 1.50-carat diamonds is steady ahead of the summer
wedding season. The country’s polished imports fell slightly in the
first two months of the year, with more goods at lower prices. US
jewelry sales are stable, even with the number of specialty jewelers
declining, as outlined in the April edition of the Rapaport Research
Report.
Companies that embrace omni-channel and social-media platforms are
driving growth. The US market is led by top-tier independents that are
adapting to rapid changes in consumer habits, and catering to key
segments among female self-purchasers and millennials.
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Contacts
Rapaport Media Contacts: media@diamonds.net
US:
Sherri Hendricks +1-702-893-9400
International: Alex Shine
+1-718-878-5138
Mumbai: Prashant Bhojani +91-97694-66855