Lower Diamond Prices Could Be a Lasting Affair – Wall Street Journal

The diamond market isn’t rock solid. And it likely won’t toughen up any time soon.

Diamonds, until recently, were that rarest of commodities, where growing demand, thanks to a U.S. recovery and rising emerging market wealth, looked set to outstrip constrained supply.

No longer. The biggest diamond miners, De Beers and Russia’s Alrosa, said prices for the precious stones fell 6% to 8% in the first half of the year. De Beers,…