(ZEROHEDGE) – The downturn in the diamond market is nothing short of breathtaking. Prices are in free fall as cash-strapped consumers have been shunning luxury goods, grappling with failed Bidenomics that unleashed an inflation storm and resulted in high interest rates. Compounding the issue, the rising demand for lab-grown diamonds has pressured the prices of natural stones.
According to Bloomberg data, citing the Diamond Standard Index, diamond prices have plunged to the lowest on record, with data going back to early 2002. The index has lost 45% of its value since March 2022.
Since diamonds are a consumer-driven market, the fierce bear market in prices signals that the industry is in trouble, as well as signals that low/mid-tier consumers are in trouble. In less than a week, Dollar General and Dollar Tree, with tens of thousands of stores nationwide, have warned that their core customer bases are under pressure. These discount retailers offer a unique glimpse into consumer sentiment that is not manipulated by government statisticians at the BLS.
World Net Daily Rephrased By: InfoArmed