Market
Currency moves are adding noise to wholesale quotes
Swings in the rupee-dollar rate are showing up as day-to-day changes in wholesale polished quotes, on top of the underlying price trend.
Imperial Star Gems trade desk1 min read
Short-term swings in the rupee-dollar rate are now visible in day-to-day wholesale polished quotes, separate from the underlying trend in prices.
- Polished diamonds are priced internationally in dollars, but most cutting and trading costs in India are in rupees, so currency moves pass through to quoted prices.
- Recent rupee volatility has meant wholesale quotes can move a percent or more between one day and the next without any change in the underlying stone market.
- The effect is larger on natural stones, where price levels are higher, than on lower-priced lab-grown melee.
A quote is only firm for the day it is given, which is standard practice industry-wide — ask for a same-day confirmation before finalising a larger purchase. This is separate from, and additional to, the US duty on India-cut diamonds, which affects landed cost rather than the wholesale quote itself.
Market commentary drawn from publicly available market data and trade reporting, not investment advice. Prices move; figures are indicative and correct as of the date above.