Morning Bites (part 3)

💍China’s jewellery retailers reported YoY drops of 21-24% in LFL (same store) sales of gem-set jewellery in 4Q22. Chow Tai Fook reported a 24% YoY decline in LFL sales of gem-set, platinum and K-gold jewellery in 4Q22. Sales in Mainland China were down 32% YoY, while HK and Macau sales fell 3% YoY. Meanwhile, Luk Fook reported a 21% YoY decrease in LFL gem-set jewellery sales in 4Q22. In Mainland China, gem-set jewellery sales shrank 38% YoY, while in HK and Macau they slid 23% YoY. The decline in Mainland China’s sales was mostly caused by a local spike in Covid cases, while HK and Macau were also hit by the resurging pandemic on the Mainland. We note that weak jewellery sales in Asia is a negative factor for diamond demand, as China accounted for ~15% of global diamond jewellery retail sales in 2021

#diamonds
https://metals-wire.com/sector/Diamonds