HK Show reflects some strain in Asian markets

The June Hong Kong Jewellery and Gem Fair 2012 began mid last week has been slow, Diamond World reports in its Weekly E-Post. The June HK Show coincides with tough economic situations – the falling of the Indian rupee, the slow stock market situations, European economic strain all of which are creating a negative impact to the trade enthusiasm.
Indian traders at the show were less active, affected by the falling Rupee. Also, the Chinese market delivered slow paced results. Amongst the diamond categories, the fancy shaped diamonds did get a better edge compared to the round shaped. According to exhibitors, the low sentiments at the show are impacting the trade, otherwise the rough is not soft and they don't see a downfall in prices.
The Asian market which otherwise has been the strength of demand for the diamond trade is witnessing some rough tides. It also maybe recalled that Graff Diamonds was amongst other luxury players who recently pulled out their plans of launching an Initial Public Offering on the Hong Kong stock exchange owing to the weak market situations. While this market uncertainty is not healthy for a capital intensive environment, one can only hope that the remaining days of the trade show conclude on a more positive note.