India: Trading Confidence Improving

Polished market slow, with very few foreign buyers in Mumbai. Shortage ofselect in-demand items supporting prices. Good demand for 1 ct., G-J,SI1-I1, RapSpec A3+ diamonds. Trading confidence improving as exchangerate stabilizes around INR 70/$1. Rough market seasonally quiet, with factoriesmaintaining steady below-capacity production until the New Year.

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