The old year ended with more of a fizzle than a bang, at least where polished diamond prices were concerned. December 2019 prices started at 120.90 and ended at almost the same point – 120.93 – with a slight dip mid-month.
Demand for polished goods remained low in December, this was especially true for the larger, higher-priced items even though their prices are far below what they were just a few years ago, as seen in the graph below.
However, the outcome of the last De Beers’ Sight of the year, which was valued at a provisional $425 million could possibly be the first sign that the market could be starting to pick up once again.
With the Chinese New Year approaching and Valentine’s Day next month, the industry will be hoping for a strong start to the year. However, with financing still an unsolvable issue, the lack of profitability in the mid-stream and economic uncertainty ahead, there is no telling how the year ahead will play out.
News Source: idexonline