De Beers Places Hope on US Jewelry Demand for H2

Bloomberg reported that as the Indian and Japanese currencies depreciate, De Beers is counting on jewelry demand from the United States in the second half of 2013. The company is “cautiously optimistic” about demand for polished diamonds.

As quoted in the market news:

‘De Beers expects moderate growth in diamond jewelry demand in the remaining six months of 2013, supported by improving sentiment in the U.S. market,’ the Anglo American Plc unit said in a statement today. ‘Conditions in India and Japan remain more uncertain due, in part, to the continuing volatility of their currencies.’

India lags behind only the U.S. and China, accounting for about 10 percent of global demand in 2011. That should rise to 13 percent by 2016 as the worldwide market for polished diamonds swells to $31 billion from $23 billion, Anglo American forecast last year. The rupee retreated to a low of 61.2125 a dollar on July 8.

Click here to read the full Bloomberg report.