That’s a surprise, especially when the Graff family seems to have difference of opinion over the stone. Bloomberg quoted the younger Graff yesterday expressing little interest. Today Bloomberg reports that Laurence Graff was the buyer:

Christie’s said the price was a record for a single stone at auction. The 35.56-carat grayish-blue gem, mined in India and owned by the same private collector since 1964, had been expected to fetch 9 million pounds. The hammer price was 14.6 million pounds before fees.

Raymond Sancroft-Baker, a Christie’s jewelry specialist, bought the gem. He said he was bidding on the telephone for London dealer Laurence Graff. Sancroft-Baker said he was underbid by a group of collectors from the Commonwealth of Independent States, represented in the room by a New York agent who would not give his name to Bloomberg News.

“Christie’s must have been able to find a buyer for this diamond because of its historical interest,” said Sam Taub, director of the Antwerp-based diamond wholesalers CLS Diamonds.

“There are few buyers for stones of three carats and above,” said Taub, speaking in a telephone interview. “For the last three years the biggest buyers have been from Russia and the Middle East. They’re not around any more and prices have fallen drastically.”

He said that wholesale prices of diamonds of three carats and over had fallen more than 30 percent over the last six months.

Diamond Sells for Record $24.3 Million, Defying Slump (Bloomberg)

Prices for large white and colored diamonds was on fire until the financial panic hit world markets. Since then, the market has all but paused. Gem experts are holding their breath waiting to see how the market shakes out.

On Wednesday, Christie’s will test the market again in London with the Wittelsbach diamond (below), a very large stone once owned by King Phillip of Spain and given as a wedding present. The Bloomberg story below outlines the debate over these diamonds:

The 35.56-carat fancy grayish-blue stone, mined in India and owned by the same private collector since 1964, is included in Christie’s Dec. 10 London sale. It will be the most valuable stone offered by the auction house this year.

“It’s a very subtle stone,” said Keith Penton, head of Christie’s jewelry department in London. “Connoisseurs really love the way it hasn’t been re-cut since the 17th century. But they’re also looking at the size and the color, and the historic provenance. There are so many angles to this one.”

“If someone buys it for 9 million pounds, it’ll be because of the history,” said Francois Graff, managing director of the London-based jewelers, Graff Diamonds. “It’s not a stone we’ll be looking to buy. It was cut a long time ago without the benefits of modern technology. Buyers of extremely rare diamonds expect excellence in all aspects,” said Graff in a phone interview. [ . . . ]

(More, including Graff’s plans to cut a 200ct. diamond after the jump.) Read the rest of this entry »

Chicago Public Radio Takes a Look

Gianofer Fields of Chicago Public Radio’s City Room looks at a variety of art dealers in the Windy City. She ends with Christie’s but begins with Leslie Hindman of Hindman Auctioneers:

people who are in the business and serious about the business don’t like to use the word investment because it’s cheesy, to be honest with you. If you know what you’re doing, you can buy works of art as an investment, but you really need to know that you’re doing and you need to buy the best of the best. And you know just buying anything isn’t an investment. It’s not a term people like to use.

Robyn Farrell Roulo is a fine art specialist for Hindman Auctioneers.
FARRELL–ROULO: Good art is always going to sell and buyers, collectors of art are always going to buy. And that’s really what I think will stay true. It’s more than a decorative object. It reflects them, the status and I think that’s something that going to hold true regardless of the economy.

Click through for a great story about a Sapphire ring.

Selling Art During Tough Times (WEBZ)

Christie’s Sale of Gems and Jewels Brings in Almost $30 Million

Most press release quotes are cautious or outlandish, this one from Christie’s Jewelry head, Rahul Kadakia, introduces an interesting idea to the entire auction market, are jewels a store of value in a world of volatility? Will paintings be seen that way too?

“In a volatile market when the Dow lost 700 points in a day, nearly $30 million of jewelry and precious stones changed hands at Christie’s in less than five hours thus demonstrating the relative stability of the jewelry market and the long dependability of gems as a store of portable value,” said Rahul Kadakia.