Morning Bites (part 2)

💍Luk Fook’s 2Q25 LFL sales decreased 17% YoY in the diamond jewellery segment, decelerating from the -36% YoY in 1Q25, according to a press release from the retailer. Specifically, the company’s sales on the Mainland market slid 13% YoY (vs. -25% YoY in 1Q25)

We maintain our view that it might take longer than we had originally anticipated for the global diamond market to recover, given the still high midstream inventories in 2025. Meanwhile, further de-escalation of the US-China trade war (jointly, they account for ~65% of the world gem-set jewellery trade), would be a favourable factor for consumer confidence

#diamonds