Commercial trade
Natural diamond terminal consumption
It's even more obvious that the price of the high-class large carats is raised
Or double the price of a growing diamond
The overall price increase since 2021 has been evident in grand carats, where terminal demand is high. According to the weekly price of nudity diamonds published by rapaport, from april 2021 to 18 february 2022, the price of nudity diamonds showed a more marked upward trend in the whole body of natural diamonds. We have taken as a reference the price of natural diamonds in the e-colour and vs1 purity levels, of which the price of diamonds in grand carats (1 carat or more) is more pronounced, with prices increasing by +15/+24/+18 per cent from april 2021 to 18 february 2022, mainly because of the strong recovery in terminal consumption and the high demand for them, which should not be driven by higher prices。
The price increase for bare diamonds was generally relatively flat, but the supply of shredded diamonds below 0. 14 carats was somewhat affected by the closure of the aguer mine, with a marked increase. From april 2021 to 18 february 2022, with the exception of a marked increase in the volume of 0. 08-0. 14 carats, the price of nudity drills (1 below carats) increased relatively generally, with the price of 0. 08-0. 14 carats having risen by 20 per cent since april 2021. At the supply end, with the closure of the agal mine, the supply of small granules declined; the supply should not be required to press up the price of small granule diamonds. Rapaport stated on 22 february that the price of under 0. 75 carats had increased by about 5 per cent during the de beers convention。
Deep downstream demand has also brought the stock to a low point of about 29 million carats. According to benn data, upstream miners are expected to achieve 116 million carats in 2021, 5 per cent in the same year, with some recovery compared to 2020; a total sales volume of 137 million carats, 27 per cent in the same year, recovery from the epidemic is significant, supply is high, inventory consumption is high, and upstream stocks are at a new low of only about 29 million carats since 2013。
Investment proposals: since 2021, there has been a marked increase in the prices of both rough and bare diamonds, showing a double supply and demand situation, and a higher price increase for high-grade naked diamonds above one carat. We believe that the growth of diamond prices to anchor natural diamonds is the result of a balance that has been forged through consumers, brands and channels, and that the boom in natural diamonds has also provided a basis for price increases for the cultivation of diamonds themselves. Power diamonds are recommended, and attention is given to the red arrow, yellow river cyclone, etc。
Risk alerts: repeated outbreaks, reduced end consumption and increased market competition。
(analyst, wu jinxi)
Keyword reading: natural diamonds
