GREY:PGDIF - Post by User
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Silverwhereon Jan 25, 2017 9:30am
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Post# 25751804
RE:De Beers Has Biggest Diamond Sale in a Year as Buyers Return
RE:De Beers Has Biggest Diamond Sale in a Year as Buyers ReturnDe Beers had its biggest diamond sale in at least a year as the gem industry restocked after the key holiday period.
The company, owned by Anglo American Plc, sold $720 million of diamonds in its first sale of the year, compared with $545 million at last year’s January offering, it said in a statement Tuesday. The world’s biggest diamond producer said it saw “good demand” across most diamond categories, while there was a larger-than-usual gap between its previous sale.
The large amount may help boost confidence that demand is continuing to rebound after a slump in 2015. It’s also a sign that trade buyers in India, who handle as much as 90 percent of the world’s rough diamonds, are recovering from wide-ranging currency reforms in November that created a cash crunch.
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The company sells its diamonds at 10 sales a year, known as sights, in Botswana’s capital Gaborone. It invites about 80 customers, known as sightholders, who buy the diamonds at prices set by De Beers. The company started publishing its sales figures in January last year.
For actual investors in the diamond space, this diamond story has 2 of 2 morals:
- BUY TEMPORARY weakness
- Follow the miniscule sightholder crowd, not the fickle sightseeing daytrading crowd