LONDON (Reuters)- Strengthening demand for top quality diamonds has pushed prices to world-record highs, but investments in the gemstones could sour if economic turmoil forces speculators to flood the market.
Surging global economic growth and a rapid fall in the dollar have pushed commodity prices, including the rarest polished diamonds, to all-time peaks in recent months.
Diamond entrepreneur and analyst Martin Rapaport, who runs an electronic wholesale polished diamond trading network, has issued a stark warning on the dangers of speculative pricing by dealers, also known as diamantaires, trading with each other.
