GIA Market Trends & Pricing 2

Question 1

Which global event in the early 2020s caused significant disruption to diamond supply chains and triggered a surge in diamond prices?

Accepted Answer

The 2020 COVID-19 pandemic

Answer

The COVID-19 pandemic disrupted mining operations, polishing centers, and retail simultaneously, causing initial price drops followed by a sharp price surge as supply tightened and demand rebounded.

Question 2

The Rapaport Price List is best described as:

Accepted Answer

An industry benchmark price list for polished diamonds used as a trading reference

Answer

The Rapaport Price List is a widely used industry benchmark that provides reference prices for polished diamonds, though actual transaction prices are negotiated as a percentage above or below this list.

Question 3

Which diamond size range typically commands the highest price-per-carat premium relative to other sizes in the retail market?

Accepted Answer

1.00–1.99 ct

Answer

The 1.00–1.99 ct range commands strong premiums because one-carat stones are highly sought-after milestone purchases and are produced in relatively limited quantities from rough diamonds.

Question 4

Lab-grown diamonds have most directly impacted which segment of the natural diamond market?

Accepted Answer

Lower-to-mid quality melee and commercial-grade diamonds

Answer

Lab-grown diamonds have most severely compressed prices for lower-to-mid quality and smaller natural diamonds because lab-grown production is most cost-efficient in these categories.

Question 5

When a diamond retailer buys a stone at '10 back' from the Rapaport list, this means:

Accepted Answer

The price is 10% below the published Rapaport price

Answer

'10 back' or '-10%' from Rap means the trade price is 10% below the Rapaport list price, which is standard industry shorthand for negotiated discounts.

(GIA) Certified Diamonds Gemological Institute of America Practice Test

(GIA) Certified Diamonds Gemological Institute of America Practice Test

GIA Market Trends & Pricing 2