In its latest analysis of polished diamond prices published on IDEX Online, the IDEX polished diamond price index shows a slight decline in March. This follows rises in the first two months of this year. The Index for March 2017 began the month at 120.98 and ended at 119.99.
Price Analysis
According to the report, “polished diamond prices have declined since the middle of last year”, and the index is at its lowest point for four years. Since January 2013 to date, there has been a decline of 9.7%.
On a month-to-month basis, global polished diamond prices in March saw a decline of 0.3% over February. On a year-on-year basis, the average price in March showed a 3.1% decrease.
Diamond Prices by Size
When comparing prices during March 2017 to February 2017, diamonds of 1 carat, 1.5 carats and 4 carats slipped, while 0.5carat diamonds and 2 and 3 carat diamonds remained unchanged.
On a year-on-year basis, the 4 carat category rose while all the others declined.
Over the longer term, “the general trend is that 4-carat stones have shown the most price volatility, although 3-carat diamonds have displayed the steepest year-on-year decline since mid-2015”. From December 2015 onwards, “there has been relative price stability in 1-carat, 1.5-carat and 2-carat stones”.
Outlook
According to IDEX, “Polished prices have continued a downward path seen from mid-2016. Meanwhile, rough prices are increasing due to strong demand, thereby putting pressure on profit margins which are already very thin”.
Additionally, “the sentiment on the polished market appears to be slowing” as Traders are now preparing for Easter and Passover.
