Diamond Price Increase?

[Anjaani3]

Has anyone noticed an increase in diamond prices over the last few days?

I am working with a jeweler who is helping me find a diamond and he called today to tell me that wholesale prices for diamonds have gone up about 5% this week.

Has anyone noticed this change recently or is he just trying to push me into making a purchase faster?

 

[WillyDiamond]

probably sales BS

 

[diamondloveaffair]

LOL. It's just like viewing an apartment with a real estate agent whereby there is always someone else who will grab up the location if you don't sign the documents now.

 

[Karl_K]

A friend informed me there was an increase in RAP prices in the last few days on si and some vs i-j goods.
5% on some goods is not out of the question but seems high, the average is around 2%.

 

[hawk25]

Just out of curiosity, how long would it take for an increase in the RAP prices to affect online retail like WF and JA? Does it mean stones in stock will increase in the next few days, or would it only be new stones that come in after the increase?

 

[new4diamond]

Just out of curiosity, how long would it take for an increase in the RAP prices to affect online retail like WF and JA? Does it mean stones in stock will increase in the next few days, or would it only be new stones that come in after the increase?

Like when the price of oil goes up, gasoline goes up the next day...takes 3 weeks for that oil to get to the pump

 

[WinkHPD]

The price of rough has been experiencing upwards pressure for six or seven weeks now and the Hong Kong show was very strong so you can expect upwards pressure on polished to continue for the next few months at least.

You might easily see ten to fifteen percent increases by September.

Wink

P.S. I would like to be wrong, but I fear that I am not.

 

[DelsFan]

I was becoming enamoured with the idea of an eternity ring for my beloved; in November I was quoted a price of around $14K for thirteen 40 point stones in a platinum setting. However, now, as I am ready to pull the trigger, the estimated price is between $18.5K and $20K. Needless to say, I've lost my enthusiasm...

Could really nice ideal cut stones increase in price 33% in six months? I can't believe there is a rash of consumption with our current economy; could there be a (cutter induced?) supply problem?

 

[WillyDiamond]

Article In yesterdays WSJ seems to think so with investors getting into it.
Article said that the "average" one carat stone is now $12,5K, wow!

 

[diamondseeker2006]

I was becoming enamoured with the idea of an eternity ring for my beloved; in November I was quoted a price of around $14K for thirteen 40 point stones in a platinum setting. However, now, as I am ready to pull the trigger, the estimated price is between $18.5K and $20K. Needless to say, I've lost my enthusiasm...

Could really nice ideal cut stones increase in price 33% in six months? I can't believe there is a rash of consumption with our current economy; could there be a (cutter induced?) supply problem?

40 point stones are okay for a 5 stone band, but most people would probably find 40 point stones very uncomfortable to wear as an eternity ring. In fact, there is someone here now who things their 30 point eternity is uncomfortable and wants to reset it. I'd stay under 30 points for a full eternity. Or go with a 5 stone band with the 40 pointers.

 

[John P]

Could really nice ideal cut stones increase in price 33% in six months?

It happened in 2011. Prices jumped 30%+ in the first 6mos. When the Rupee (and speculative buying) crashed in Q3-4 there was an adjustment but that was still a pretty intense year, as general prices rose 19%.

To your question: In an "official" sense, prices have only increased about 5-10% in 0.40-0.49ct, and that is in D-I color SI clarity goods. The latest (small) bumps did happen last week. But price guides only echo upstream realities, and that echo is always late to hit retail markets. It's possible the goods you want also have less availability at present (whether just to your dealer or trade-wide). It's possible your dealer is tied into the upstream rough and manufacturing market, which experiences pricing fluctuations weeks before they travel downstream. It's possible he's trying to make a bit more. Only he/she knows the specifics.

I can't believe there is a rash of consumption with our current economy

Right you are about the west. But pricing is also driven by other economies. Asia-Pacific demand, not USA buying, was what fueled diamond price hikes in 2011. This year, China experienced a 23% gain in jewelry sales for March 2013, compared to March 2012 (link below). Such events resonate in world trading centers.

http://www.jewellerynewsasia.com/en/News/7608/China-s-jewellery-retail-sales-up-26-3-in-March.html

could there be a (cutter induced?) supply problem?

I'm not sure what this means; can you elaborate?