Investec Sees Rough Diamond Prices Up 7 to 8 Percent in 2015

Mining Weekly reported that Investec Securities analyst Marc Elliott believes that strong jewelry demand over the holidays is likely to lead into another strong year for diamond prices. Indeed, he sees rough diamond prices being between 7 and 8 percent higher in 2015.

As quoted in the market news:

Recent indications of bullishness in the diamond business have been given by diversified miner Rio Tinto developing its the fourth kimberlite pipe at the Diavik diamond mine in Canada’s Northwest Territories at a cot of $350-million and intensifying reports on China’s expanding middle class and the growing aspirational consumer market in Asia that is expected to fuel the demand for diamond fashion jewellery in the coming years.

Trendy, younger and more affluent, China’s aspirational consumers are said to represent a massive profit pool for jewellery manufacturers and retailers, which is expected to open up significant opportunities for the diamond trade well into 2015.

Click here to read the full Mining Weekly report.