Following Bloomberg's previous disclosure of relevant news, Anglo-American Resources Group clearly described the content of de Beers' book value of xiatiao $1.6 billion in its financial report on February 22.
The reason for the impairment is that "the price is lower than the previous forecast, reflecting the decline in consumer demand". The key factors are the macroeconomic uncertainty of the United States and China, and other factors such as the market impact of laboratory diamond cultivation, the financial impact of the revised contracts of De Beers and Botswana governments.
At present, De Beers' book valuation is $7.6 billion, but the company is still optimistic, not only because the natural diamond industry began to stabilise in the fourth quarter, but also because De Beers and Anglo-American Resource Group believe that the long-term impact of cultivating diamonds on natural diamonds is limited.
As a giant in the natural diamond industry, De Beers still expresses positive expectations for the long-term future of the industry.
At the same time, Rapaport released a weekly report showing that the B2B price index of natural diamonds (bare diamonds) fell slightly this week, including:
0.30ct: -0.86%
0.50ct: -0.67%
1.00ct: -0.88%
3.00ct: -0.79%
It is worth noting that this week's decline exceeds the total increase of the previous two weeks.
Through the statistics of weekly price changes, we found that since the end of 2023, except for the price increase of about 3.2% in the 0.50ct section, all other sections have been flat or have decreased slightly (as shown in the figure below).
As evidence, the price report of IDEX also reflects the weak decline in the price of natural diamonds this week (as shown in the figure below).
In addition, according to Rapaport's report, the U.S. diamond jewellery retail market during Valentine's Day was deserted, and some dealers said it was difficult to find high-quality goods at the right price.
American buyers and Indian sellers would rather give up the transaction than compromise on the price. To some extent, this has played a role in supporting the price of natural diamonds.
Source: Diamond Observation