Diamond Prices Set to Rise ?

If the recently concluded diamond auction held by Sotheby’s and Christie’s in New York tells us anything, it is that we may see a rise in the diamond prices in the near future. Large diamonds weighing 10 + carats sold well at very good prices. This auction along with the current shortage in the supply of rough diamonds is a sure precursor of higher diamond prices to come.

Even smaller sized diamonds found good buyers at these two auctions. The trend at these auctions are generally good indicators of how the diamond market is going to behave in the short term. As it is a lot of diamond retailers, especially in Asia have already increased the prices of set diamond jewelry as the buying trend in these markets have shifted from the traditionally strong Gold jewelery to that of diamonds.

This strong trend in Asia is going to have a trickle down effect in the jewelery market in United States. It will be interesting to keep a watch on how this affects the online and offline jewelry stores in both terms of total sales and the average sale per item.

You can read more on the figures of the two auctions here