Diamonds Predicted to Outpace Gold

Bloomberg reported analysts say diamond prices are poised to rise for the next four years, outpacing gold, as spending on luxury goods rises.

As quoted in the market news:

Average prices for rough, or uncut, diamonds will probably climb 9 percent to $145 a carat next year, 1.4 percent in 2013 and 4.8 percent in 2014, according to Edward Sterck, an analyst at BMO Capital Markets. They may gain 2.6 percent in 2015 and 3.2 percent in 2016, he said. Gold will drop for three years starting 2013, following a 19 percent gain in 2012, according to the median of seven analyst estimates compiled by Bloomberg.

Click here to read the full Bloomberg report.