Diamond trading is passing through a quieter phase with the markets remaining in a stable to cautious mode. Belgian and Israeli diamantaries are taking their August vacations and polished diamond traders are waiting till the September Hong Kong fair, to avoid pile up of large inventories. The RapNet Diamond Index (RAPI) for 1ct diamonds declined 2.4% in July.
While the US and India markets remain steady, with some expectations from the ongoing India Diamond Week in New York, markets across Antwerp, Hong Kong and Israel are slow and quiet.
Liquidity crunch, increase in prices of roughs due to shortage of goods (added by strike in Namdeb, Namibia, which continues for more than a week) and decline in polished prices are fuelling margin squeeze of industry players. Profits of Titan, Blue Nile, TBZ have fallen and losses of Charles & Colvard enlarged further. Apart from a handful few, stock prices of major industry players globally have declined as on 7th August over a week earlier.
Rapaport Price List now excludes price info of all Marange and green-tinted diamonds, acknowledging plethora of problems with Marange diamonds. Overall, the outlook of Diamond market seems soft at least for the time being.