A rough diamond.

The topic of diamond prices is a hot one in today’s economic climate, but not all diamonds are equal. Polished diamonds differ in their current financial than rough diamonds. The current buyer’s market for polished gems reflects the fact that polished diamonds have not picked up in price the way rough diamonds have.

Due to recent global economic struggles, the overall diamond market saw declines. As the economy picked up, though, polished diamonds still lagged behind the progress of their unfinished counterparts.”There is no feeling of recovery in polished gems similar to the one in rough diamonds, and prices are yet to recover to 2008 levels,” said Lev Leviev, a wealthy diamond investor. “I hope they will recover somehow by the end of 2010 but overall diamond polishers are in a very difficult position.”

Rough diamonds recovered by a margin of nearly 50% in 2009, while polished diamonds saw a decline during the same time frame, according to WWW International Diamond Consultants.

DeBeer’s, the famed diamond company, expects a slow increase over the next year. Consumer demand definitely exists; DeBeers reported that the 2009 holiday season was better than expected and a bastion of hope.

“I think definitely there is a much better outlook than we’ve had for quite some time,” said analyst Des Kilalea.