What factors determine the true value of a diamond in today's market?
The price of a diamond is influenced by both its physical characteristics and market dynamics. A perfectly cut 1-carat brilliant diamond with a 6.5mm diameter commands premium pricing due to its superior brilliance and visual appeal. However, slight variations in size can significantly impact cost - a 0.90-carat diamond is notably less expensive than a 1-carat stone, while a 6mm diamond might be overweight for its diameter, making it less desirable.
Market forces also play a crucial role in diamond pricing. Economic conditions affect luxury spending patterns, with economic downturns typically leading to reduced demand and lower prices. Conversely, growing interest from emerging markets like China, Brazil, and the Middle East has recently driven up prices, particularly for rare colored diamonds and exceptional white stones. BAUNAT focuses on finding the optimal balance between these factors to offer high-quality diamonds at fair market values.