News: Hong Kong loose-diamond show exceeds low expectations amid steady overseas traffic and shortages of sought-after items. Few Chinese buyers, as diamond demand has barely improved. Jewelry show reflects mainland appetite for gold, gemstones and pearls. Impact of US tariffs on China and Canada uncertain. Polished prices stable amid lower inventories, with 1 ct. RAPI +0.2% in Feb.; 0.30 ct. RAPI +3.7% amid strong market for D-E, IF-VVS1 goods. Feb. rebound reflects shortages more than demand. US and Indian retail stable. Major Signet shareholder Select Equity Group calls to sell the company. Alrosa 2024 revenue -26% to $2.7B, profit -77% to $215M. US postpones “country of mining” requirement indefinitely.
Fancies: Large fancy shapes doing better than 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 good shape and quality in D-I, VS-SI categories. Elongated Emeralds, Radiants and Pears in 2.50 to 2.99 ct. sizes trading at significant premiums. Oval and Pear, 0.30 to 0.49 ct., F-I, VS diamonds in demand. Ovals 5% to 10% more expensive than Pears in US market. Supply shortages supporting prices for Marquises. Square Cushions slow. Very well-cut fancy shapes difficult to find and commanding premiums. Off-make, poorly cut fancies illiquid.
United States:
Retailers enjoying steady demand. Trade anticipating busier second quarter, which includes Mother’s Day. Wholesalers struggling to source round, 1.50 ct. and larger, G-I, VS-SI, 3X diamonds with no fluorescence. Companies monitoring impact of President Donald Trump’s tariffs on China, Canada and Mexico. Estate jewelry stable.
Belgium:
Market quiet. Steady demand for 2 to 3 ct. diamonds and small fancy shapes. Many dealers have traveled to Hong Kong for the shows, reporting positive sentiment and trading.
Israel:
Activity slow. Some dealers are overseas for Hong Kong shows. Israeli companies focusing on niches and building focused inventories of sellable items, such as long ovals, even though their customers are not buying large volumes.
India:
Manufacturers cautiously optimistic. Positive reports of activity at Hong Kong International Diamond, Gem & Pearl Show, with solid business from southeast Asian, European, Indian, and Middle Eastern buyers. Chinese demand still slow. US steady. Domestic Indian jewelry sector supporting trade in small diamonds.
Hong Kong:
Loose-gem show ends, with activity in diamond halls exceeding low expectations. A few Chinese buyers making inquiries, but sales still quiet. Pearl section busy. Jewelry fair seeing steady demand for gold items, as mainland consumers view them as an investment asset. Some designers shifting to lower gold weight and quality as metal’s price nears $3,000/oz. Tariffs likely to affect domestic jewelry manufacturing.
