If you want to buy diamonds, perhaps as an investment, know that the price is currently falling. This is reported by Rapaport, the bible of polished diamonds. The falling price is determined by several factors: weak demand, reduced bank credit and increased supply. US experts indicate a drop in the price of 1-carat diamonds of around 6% in the last 12 months. This slowdown was also compounded by the recent religious holidays in Israel and India, which slowed down sales. Again according to Rapaport, the prices of De Beers diamonds have remained substantially stable, but weak demand should negatively influence market prices in the coming months. In short, further declines are expected. Also because the Asian market seems tepid, with signs of tiredness. It is not clear whether the growth in sales during the Christmas holidays will be enough to change the situation: according to American experts, for producers and traders the situation is “worrying”.
