Gemstones and jewelry are fetching record prices at auctions, while gold falls and stocks remain volatile. The combination is boosting the appetite for diamonds as investments.
In midtown Manhattan these orders are examining tiny diamonds to prepare for auction. There's so much demand that Rappaport auctions holds auctions like this every single month. And is now in the midst of launching a diamond exchange. To attract more retail investors to the market. Now it was and -- got some oil from the stock market I feel wealthier have wealth effect what else can I invest. And they don't feel comfortable with traditional. Kind of investors they would in the stock market is pretty high and certainly not bonds and they're looking at alternatives so that it increasing demand for. Investment diamonds and jewelry. Collectibles jewelry market is also having a booming year. Subsidies that a new auction record for this white -- fourteen point two million dollars. It's value more than tripled since its last sale in 2001. An auction in Hong Kong's setting new record price per carry it where this diamond nearly 240000. Dollars. Christie's auction house is seen hundreds of new investors participating in auctions for jewelry. And watches. We see watches that don't move for twenty years. And suddenly the world wakes up and realizes that this is actually -- and much more significant than we ever thought. Like is eighteen carat gold -- -- clots which just sold for more than 2.2 billion dollars. A world auction record for this kind of -- The demand for diamonds and jewelry company here when commodity prices slumping. Gold prices that followed this year after twelve years of steady gains. Despite that slump they're -- now 222. Precious metals exchange traded funds and number that has quadrupled in the past five years. That includes the recently launched cure buttons I SE diamond -- stony -- The only -- currently offering exposure to diamonds to other diamond ETFs are in the pipeline. These investments like others carry risks while Martin Rappaport expects buying diamond prices to increase on average 7% a year. He does off for a cautious forecast. He might jump up 40% jump down 20% interest so I'm pretty bullish on diamond values that you must be careful. This is a very mercurial. Product. Mercurial yes but beautiful too and this investment you actually get to where --