Holiday Season Rush Boosts Markets

Market Analysis
23/10/2020 12:20

Rapaport News reports that the Holiday Season rush is boosting markets, demonstrated by a rebound in De Beers third quarter sales, up to 6.6m ct in Q3, compared to barely 300k sold ct in Q2, at the height of the global pandemic. Rapaport calculates that sales increased 10% y-o-y, reflecting pent up demand and easing restrictions in trade and manufacturing hubs across the globe. The renewed activity is also supported by the decision made by a majority of Indian manufacturers to limit the traditional Diwali break to 5 instead of 12 days, to allow orders from the US and China - ahead of the end-of-year holidays and Chinese New Year in February to be filled, and make up for the losses caused by the pandemic. According to Rapaport, manufacturing has returned to between 70 and 90% capacity and shortages in certain, higher quality categories are pushing up prices.