(IDEX Online) – The IDEX Online Polished Diamond Index decreased in September to 133.1 from 135.7 in August. In round items, all sizes showed marked decreases.

 

The full analysis of the polished diamond data is available to IDEX Online Research subscribers and IDEX Online members here.

 

The IDEX Online Polished Diamond Index began September at 134.6 and ended the month down at 131.8 as is seen in the graph below. The middle of the month showed a decline before flattening out.

 

 

In the long-term view, it is clear that the index is approximately at the levels seen two years ago. A slight increase that began in March ran out of steam in July and has been declining since.

 

The slight decline in prices is typically seasonal in nature and is in line with the usual annual cycle, with summer vacations leading to reduced levels of trading.

 

 

Looking at the month-over-month graph the prices of all sizes of polished diamonds decreased in September from August. A comparison of prices in September percent on the same month last year provide a somewhat more positive picture, however.

 

An overall view of long-term price changes shows that stones of 3.0 and 4.0 carats increased from the Spring months until July, since when there has been a decline.

 

Meanwhile, in the so-called bread-and-butter goods of 2.0 carats and smaller, changes in prices have been modest this year, with a slight decline since July.

 

Outlook

Polished diamond prices continued to slip in September, extending a downward trend that began in mid-July.  While polished diamond prices in late July and all of August ebbed modestly, prices in September fell at a greater rate, particularly after mid-month. 

 

Prices of all key sizes dropped in September, with an average decline of nearly two percent from August levels.

 

With summer sales slow and the GIA finally managing to get graded diamonds back to the market after a backlog built up due to an insufficient number of grading staff at the lab and other issues, there is a significant amount of polished diamonds on the market and that is likely to mean polished prices will continue their slight downward trend that has been seen since the summer months.

 

The full analysis of the polished diamond data is available to IDEX Online Research subscribers and IDEX Online members. Click here for more information on how to subscribe or become a member.