July Prices for Polished Diamonds

[pricescope]

...continue to climb.

 

[pricescope]

1.0-1.49ct range, F color

 

[pricescope]

1.0-1.49ct range, G color

 

[pricescope]

2.0-2.99ct range, F color

 

[pricescope]

2.0-2.99ct range, G color

 

[goscottgo]

Is this trend predicted to continue in the next 2-3 months?

 

[bling]

Interesting! Thanks Leonid for the info..

 

[pricescope]

I'm not a prophet but I think yes. It will also depend on the particular size, shape, color and clarity.

 

[Patty]

Good informative thread, this.

 

[moremoremore]

of course they are Leonid...b/c I am looking for a stone...this has taken a lot longer than I had hoped...so I hope to get a break on price...

 

[verticalhorizon]

I love these geeky threads! I'm so happy my search is over!

 

[DiamondExpert]

I'm no prophet either, but would venture that if you were to hold your breath until prices even level off you will be long dead and your corpse will have turned to dust!...how's that for a cheerful thought?!...

Leonid - love your headphones - didn't know they had 'em in days of yore.

 

[chialea]

----------------
On 7/8/2004 3:56:56 PM moremoremore wrote:

of course they are Leonid...b/c I am looking for a stone...this has taken a lot longer than I had hoped...so I hope to get a break on price...

----------------

I've joined that club... my nightmare is that this takes until the end of the year or so -- more expensive, more hassle, and more of that "we're not technically engaged, but yes, we're getting married" until I get a ring...

Good luck, though! I'm just trying to sit back and be patient now... patient is hard, sitting is not so much...

 

[SFDavey]

I'm going to go out on a limb here, as it affects nothing about me professionally...

I would say that prices should be about peaked out.

Anyone ever watch the movie "Trading Places" with Dan Akroyd and Eddie Murphy? Do you remember Eddie Murphy's spiel about pork bellies, wives, children, and GI Joe's with the kung-fu grip...?

OK. Here is why prices have risen. It's been a HECTIC year for engagements. CRAZY hectic. Everyone is doing it. I know in my age group (27-37) I am doing 5 weddings this year alone. Mine is next year, I know of two others then as well and probably more on the way. I think it is partially cyclic with the times. So there is currently HIGH demand for diamonds so higher prices. Basic economics.

After this year, I can think of only a few of my friends that will still be considering getting married anytime soon. Demand will be down. ADD to that, the winter is coming up and that ALWAYS lowers the demand on all things except for Christmas presetns. Forgive me for saying so, but I think getting engaged during the Holidays is tacky so diamonds 1+ carats will be mostly out...That's just me though. I got 'engaged to be engaged' (though the gal didn't know it!) with a lovely opal necklace last Christmas. Rings are for the Sun to shimmer onto and off of...Spring and Summer are the times to give the rocks-ses to the pretty ladies-ses.

I predict in a compeltely unscientific way with absolutely no concept of diamond economics that the cost of diamonds will be coming down by about 17.5+ % from what they are now by NEXT January on anything larger than 1.25 carats!

I will be book marking this page just to see...

EDIT:
And CLEARLY it's not all about engagements and such, but i think there's been a rush to find perfection in a world of chaos lately. Diamonds are just that.

 

[icelovr]

speaking of trends/prices...what's the deal w/ the princess cut? I have heard from some the trend is dying down thus the prices are coming down, yet others say it's still popular...thoughts?

 

[moremoremore]

hell no! I'm in the hunt...and they keep going up....I personally don't think they are a trend....I think just about every shape is classic...except the heart...

 

[Dancing Fire]

Leonid

can you post Rap for these stones.
thanks

 

[SFDavey]

On 7/8/2004 8:04:08 PM moremoremore wrote:

I think just about every shape is classic...except the heart...

WORD.

Of course, it's all about personal preference...

 

[Mara]

boooo i want the 2c-2.99c SI2 stone prices to FALL not rise.

 

[Richard Sherwood]

-----------
(diamonds are) perfection in a world of chaos
-----------

Ohhhhhhh, that's a good line. Can I use that?

 

[DiamondExpert]

SFDavey - you're thinking too close to home - one of the major demand pressures (present and especially future) is CHINA...the demand is increasing dramatically there, they pay cash for stones and with an increasing standard of living they can easily become THE major world market for diamonds in the next decades.

 

[DiamondExpert]

Sorry Rich - TM De Beers I'm afraid!!

...use at your own risk!

- Ha, ha...I think!

 

[Dancing Fire]

----------------
On 7/8/2004 8:29:01 PM DiamondExpert wrote:

SFDavey - you're thinking too close to home - one of the major demand pressures (present and especially future) is CHINA...the demand is increasing dramatically there, they pay cash for stones and with an increasing standard of living they can easily become THE major world market for diamonds in the next decades.----------------

gary,
what you're saying about china is true,no doubt their standard of living is going up ,but i think the average e-ring they're buying is under 1/2 ct. don't forget, the average citizen in china probably only makes about $2,000 u.s dollars a year. the people that can afford to buy a big diamond, is probably from corrupted money.

 

[pqcollectibles]

What about I and J color diamonds???!!!

 

[DiamondExpert]

vt86 - "Cultural" norms can be changed with time (read that buying bigger diamonds)with the right propaganda, and in terms of the absolute #'s of people who can afford large diamonds in China, the number is going to be HUGE.

As far as "corrupted" money is concerned - no one really cares! - you and I may not like that, but it's a fact...do you think CEO's and officers of many US/foreign corporations and rulers of many foreign countries do not buy diamonds with "corrupted" money?

China is, and will continue to have a large contribution to lowering the standard of living in this country it they develop...their competition for and use of natural resources will be staggering - look at the price of oil - it can never return to low levels because of increasing world demand - same is true for products like concrete - the increasing cost of resources and diminished availability in/to this country will drive up the cost of living in a climate of stagnant/falling earning power = lower standard of living.

 

[Dancing Fire]

----------------
On 7/8/2004 9:24:14 PM DiamondExpert wrote:

vt86 - 'Cultural' norms can be changed with time (read that buying bigger diamonds)with the right propaganda, and in terms of the absolute #'s of people who can afford large diamonds in China, the number is going to be HUGE.

As far as 'corrupted' money is concerned - no one really cares! - you and I may not like that, but it's a fact...do you think CEO's and officers of many US/foreign corporations and rulers of many foreign countries do not buy diamonds with 'corrupted' money?

China is, and will continue to have a large contribution to lowering the standard of living in this country it they develop...their competition for and use of natural resources will be staggering - look at the price of oil - it can never return to low levels because of increasing world demand - same is true for products like concrete - the increasing cost of resources and diminished availability in/to this country will drive up the cost of living in a climate of stagnant/falling earning power = lower standard of living.----------------

gary,
keep in mind most of the people still living in farms and villages in china. most of these people have never seen a diamond in their whole lives, let alone afford one.in the big city, it's a different story. overall, they are still one of the poorest country in the world.

 

[DiamondExpert]

Ya, I understand and agree with what you are saying, but I'm not talking about tomorrow or overnight - in the decades to come however, it will be a very different story.

 

[kevinng]

It is true that with an awakening of a large economy, there will be competition for scarce resources.... and diamond is one of them. However, it is unfair to the Chinese people to conclude that most of the people buying big diamonds are corrupt. It is also not fair to say that when there are more people fighting for scarce resources, the standard of living will fall.

If you have been to a Chinese big city, you will realise that the economy is really booming. Currently, the major impetus of growth is probably foreign investments. In simple terms, foreign companies (which include American companies) are paying big money to the Chinese people to make products that you can sell back in America for a lower price. With free trade, everybody gains. Americans get to buy cheaper TVs, DVD players, Nike shoes, clothes, etc... Where do you think most of these things are made nowadays?

When it comes to diamonds, are the Chinese people not paying for the diamonds? I imagine all sightholders, dealers, brokers, cutting houses, and the whole industry gain in the process.

Yes, Americans, and people from other countries like myself, have to pay for more expensive raw materials. However, the extreme spike is temporary. We learn in fundamental economics that supply adjusts in the long run. Ultimately, it may be higher, but not ridiculously high. Lumber yards in Indonesia will produce more timber. Everyone is rushing to produce palm oil to serve the Chinese market. These prices rise, but they adjust themselves after a while. Why is it that Diamonds and Oil have remained high? The answer is obvious, but I will answer it anyway: DeBeers & OPEC.

If you have been to China, you will realise that a lot of the newly rich are rich because they work very hard. They have been poor for too many generations, and they are quite simply sick of it. They work hard... VERY HARD... much harder than you and I. A lot of the small businesses operate long hours to maximise the rent they are paying. Many food and entertainment joints open 24 hours for every day of the week. There is a tremendous amount of energy there, and people are getting richer. Sure, some of them get rich because they are corrupt. All emerging economies have the same problem (which is why some of them are still trying to emerge after decades).

I am not saying that they are all nice people, but to say that Chinese people can afford big diamonds because they are corrupt is a terrible injustice to the Chinese people... and to say that the growth of China causes the standard of living in the US to drop is just missing the big picture.

 

[starfire]

Hi vtigger86,

I do not believe that it is justifiable to make a sweeping statement that people from China who can afford to buy a diamond "is probably from corrupted money".

In the first place, the number of people who can afford middle-class living is probably about 50 million at the moment (give or take 10 million).

Granted that this is still a miniscule proportion of 1.3+ billion people in China, this is still a big force to be reckoned with. And if things remain stable, China will add about 10 million middle-class people per year for the next 30 years. This means about 300 million people.

Also, please keep in mind that private enterprise is beginning to flourish, and despite what you read in the media China is communist in name only. The majority of the people in the cities have already woken up to the benefits of hard work and private enterprise.

To label the hard-earned rewards of these people "corrupted money" sounds patently unfair and jingoistic. Have you been to China? Do you have contact with China people?

In Singapore, we have seen a surge in China tourists who have money to spend over the past four years. It is difficult to believe your sweeping statement, when you see the amount of progress in many China cities.

Do you think corrupted money alone can raise the standard of living of millions of people over the past 15 years? Look at Russia and North Korea today, and compare them with China.

I hope I don't come across sounding too harsh, but I feel that one needs to know the facts before making unfair statements.

Best regards,
Stephen Tan
Charlotte Atelier
Singapore

----------------
On 7/8/2004 8:46:21 PM vtigger86 wrote:

----------------

gary,
what you're saying about china is true,no doubt their standard of living is going up ,but i think the average e-ring they're buying is under 1/2 ct. don't forget, the average citizen in china probably only makes about $2,000 u.s dollars a year. the people that can afford to buy a big diamond, is probably from corrupted money.----------------

 

[Dancing Fire]

starfire,
first of all, china will have a big impact on the diamond industry in the years to come. no doubt, their standard of living has gone up in the last 10 yrs.and as they become more westernized, and give their brides diamonds for engagement. i am chinese, but haven't been back to china since i was a little kid (1965). i was born in H.K. haven't been back since 1983 and most of my friends are chinese. they ask me if i want to go into business adventures with them in china. i told them "no thanks, i'd rather take my money to las vegas and would have better chance of winning." most of them come back here to the U.S. broke because ,after you go through the chain, and pay everyone off, to get your business started, you'll be broke by then. people there don't care who they hurt. a few months ago they sold fake baby formulas i think killed about 30 infants. my point is, as long as they make good money, they don't give a damn. they will sell you anything fake and try to pass it as real. my friends talk like there's are alot of billionaires walking on the streets of china. if that's true and life is so good in china,why would a lot of them risk their lives to come here to the U.S. by the ship load?