Pros: Does Color & Clarity supply match demand?

[Moh 10]

When it comes to color, clarity and size, diamonds vary; fortunately people vary too.

Not everyone can live with an M I2, even though with those specs you can get a bigger stone.
Few want to pay for a D IF because you get a much smaller stone.

I'd guess the most in demand stones are around H VS2: but does nature just happen to provide a larger quantity around H VS2?

Does the supply of all the grades just about match the demand for them?
If not, which color/clarity combinations fly off the shelves and which take a long time to sell?

I would guess a D I2 and a M IF would be hard to sell.
It seems most people would want color and clarity that are closer.
Is this true?

 

[Rhino]

I believe one factor depends on the shape. Look how long a perfectly cut O IF has been around. Folks would prefer a K VS2 over it. Now if it were recut into a shape where folks moreso prefer warmer colors it might be a different story.

 

[Moh 10]

Rhino, do warmer colors do well in cushions?

I see a few of the new old miner style L cushion on your site.
Was that an accident, or do you request the warmer colors for this cut?

Is it true stones around G, H, VS2, SI1 are the hardest to keep in stock?

Oh, and the Search by Cut engine here only goes to N.
O cannot be chosen.
Maybe admin could change that and that beautiful O IF would fly off the shelf.

 

[oneandahalfrock]

I'm no pro, just commenting about how right you were about H VS2 being a sweet spot- that's what my e-ring is, and flipping through the 'Show Me the Ring' section, so many others have it as well...
I never thought too much about an average color/clarity around here.
You see the occasional I1's or on the other extreme VVS, but most seems to be VS-SI range... interesting
Maybe dancing fire should do a poll on everyone's 'main diamond' color/clarity if he hasn't already

 

[bgray]

i would have much preferred to have a lower color and clarity and thus a larger size but when searching by cut i found an E VS2 and the cut was as close to perfect as i could find ............

 

[strmrdr]

When it comes to what comes out of the ground there is far more non-gem quality rough pulled from the ground than anything else.
Depending on the mine, heavily included, low color yellow or browns are the most common.
Each mine has a different mix of goods coming out of it which varies over time.

When it comes to what is available the market tends to send it to where the demand is.
For example you will not find a lot of smaller D/IF diamonds on the US market.
They are sent elsewhere.
A lot of low color and clarity goods are sent directly to the chain stores and their suppliers you don''t see an accurate representation of market share for them on for example the PS list.
If you are shopping for a 1000 lot you will find them.

 

[Lorelei]

Date: 7/11/2009 10:26:04 AM
Author: strmrdr
When it comes to what comes out of the ground there is far more non-gem quality rough pulled from the ground than anything else.
Depending on the mine, heavily included, low color yellow or browns are the most common.
Each mine has a different mix of goods coming out of it which varies over time.

When it comes to what is available the market tends to send it to where the demand is.
For example you will not find a lot of smaller D/IF diamonds on the US market.
They are sent elsewhere.
A lot of low color and clarity goods are sent directly to the chain stores and their suppliers you don''t see an accurate representation of market share for them on for example the PS list.
If you are shopping for a 1000 lot you will find them.

Good summary strmy!

 

[Moh 10]

Good points Karl.

I don't think any vendor carries the full mix of color and clarity that matches what comes out of the ground.
WalMart specializes in frozen spit and Harry Winston carries the other extreme.

Also, it was dumb of me to address this to vendors since what they buy and how fast certain sectors of their inventory turns over is proprietary; I'm sure their competitors would like to know. Duh! Moh!

I also forgot to factor in how non-linear demand affects cost.
D IFs will languish unsold if they are priced TOO high, which creates a downward pressure on prices.
Next if H SI1s are flying off the shelves and vendors cannot keep them in stock that creates an upward pressure on price.
If so perhaps this makes them slightly less of a good value.

So, on one hand you have nature, but on the other hand you have the market.
I don't think a graph of color/clarity vs. price would be a straight line.
There would be bumps and dips, but where?

I'm still curious: After market demand influences prices which color/clarity combinations turn over faster and slower - or is the goal of the industry to adjust prices so all goods move at about the same rate?

 

[strmrdr]

Date: 7/11/2009 10:43:43 AM
Author: Moh 10

I'm still curious: After market demand influences prices which color/clarity combinations turn over faster and slower - or is the goal of the industry to adjust prices so all goods move at about the same rate?

Depends on which market you are talking about, I doubt if anyone knows overall since DeBeers lost control
Second part:
I think these days the supply side is to fragmented to exert that much control.
DeBeers might have been able to at one time.

 

[joelly]

Date: 7/11/2009 10:26:04 AM
Author: strmrdr
When it comes to what comes out of the ground there is far more non-gem quality rough pulled from the ground than anything else.
Depending on the mine, heavily included, low color yellow or browns are the most common.
Each mine has a different mix of goods coming out of it which varies over time.

When it comes to what is available the market tends to send it to where the demand is.
For example you will not find a lot of smaller D/IF diamonds on the US market.
They are sent elsewhere.
A lot of low color and clarity goods are sent directly to the chain stores and their suppliers you don''t see an accurate representation of market share for them on for example the PS list.
If you are shopping for a 1000 lot you will find them.

Totally agree.

I suspect Asian market is where they dump most of those D''s.

 

[Rhino]

Date: 7/10/2009 9:03:30 PM
Author: Moh 10
Rhino, do warmer colors do well in cushions?

I see a few of the new old miner style L cushion on your site.
Was that an accident, or do you request the warmer colors for this cut?

When clients of ours found out we were cutting these requests came in for warmer colors so I put in request to purchase rough in this zone although we had some colorless/near colorless in the lot as well which also sold fast. Warmer colors in these particular cushions add a certain charm to them that would otherwise not be there in the icier colors. It''s hard to put your finger on it unless you see it but the broad reflections, the symphony of color produces a chemistry that just works.

Is it true stones around G, H, VS2, SI1 are the hardest to keep in stock?

Those are certainly the more popular. Anyone physically stocking will generally have as good of a selection of these as possible. I''d throw "I" color into that batch too.

Oh, and the Search by Cut engine here only goes to N.
O cannot be chosen.
Maybe admin could change that and that beautiful O IF would fly off the shelf.

That would be nice. After July is over you may see a new O IF on our site and it will not be that one.

Peace,

 

[stone-cold11]

Date: 7/11/2009 4:04:02 PM
Author: Rhino

Oh, and the Search by Cut engine here only goes to N.

O cannot be chosen.

Maybe admin could change that and that beautiful O IF would fly off the shelf.

That would be nice. After July is over you may see a new O IF on our site and it will not be that one.

Peace,

So that is being sent to be re-cut as a what? OEC?