Rapaport's market update indicates diamond markets were stable in May as reduced supply supported polished prices in 1.0ct. and 3.0ct. categories. The JCK Las Vegas show met expectations and raised sentiment, with suppliers holding their prices firm despite slightly disappointing sales. During the first five months of the year, RapNet Diamond Index (RAPI™) for 1-carat diamonds increased 0.7 percent, but has declined by 13.6 percent from one year earlier on June 1.There remains an oversupply of 0.30-carat to 0.40-carat diamonds and a shortage of newly-produced fine-quality, triple EX diamonds available in the market. Rough trading is subdued as manufacturers remain concerned about profitability, despite price reductions implemented at the De Beers May sight. This week’s June sight is expected to be larger than last month’s small sight but rough supply and demand remains restrained.