Diamonds Are Cheap & Seasonality Headwinds for Soybeans
Commodity Report #211
*YTD our absolute return strategy is up 12,0%
Diamonds Are Cheap
Diamond prices have fallen to their lowest level this century!
Diamond prices are currently low due to a combination of factors including decreased demand, increased supply of lab-grown diamonds, and fewer marriages. Lab-grown diamonds used to take weeks to make but can now be grown in a few hours, compared with billions of years for natural stones. Their provenance is also much easier to trace than mined diamonds, which means lab-grown are seen as more ethical by millennial customers. Synthetic diamonds now account for 45% of the bridal jewelry market
Seasonality Headwinds for Soybeans
The period from late June through early October has been a dangerous stretch for soybean bulls. Over the last 15 years, this timeframe has delivered losses in 11 out of 14 years, with an average return of -4.87%. It’s one of the weakest seasonal windows in the entire commodity complexes
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In Other News…
This week, look out for the following:
Flash PMIs on Monday
GDP figures on Thursday
Core PCE Price Index on Friday
Institutional Services
If you’re an institutional investor that wants to commit money into our strategy, receive a portfolio-overlay or copy our strategy to participate directly from our framework - contact us via info@lukas-kuemmerle.com
Till next Monday, Lukas
If you have any questions in the meantime, please feel free to contact me via X or Mail.