Fancy-color diamond prices grew in 2016, supported by mounting demand for rare blues and pinks, according to the Fancy Color Research Foundation (FCRF).
The Fancy Color Diamond Index climbed 0.4 percent last year as prices of blue diamonds jumped 5.5 percent, while prices of their pink counterparts increased 1.4 percent. However, yellow-diamond prices fell 4 percent.
“Blue fancy-color diamond prices are at their all-time peak due to a combination of very thin supply and healthy demand,” said Jim Pounds, executive vice-president for diamonds at miner Dominion Diamond Corporation and chairman of the FCRF’s advisory board. “Overall, high-quality and well-cut vivid blues and pinks do not exist in sufficient volume to create price stability.”
In the fourth quarter, the overall index declined slightly relative to the previous three months, the FCRF said. Yellow-diamond prices slipped 1.4 percent and pink prices were flat, outweighing a 1.5 percent increase in blue-diamond prices.
Looking ahead, prospects for yellow diamonds are relatively positive, Pounds pointed out.
“Highly saturated yellow rough diamonds, especially vivids, have recently achieved high prices in tenders, likely representing improved demand that will impact [polished] prices,” he said.