Luxury jewelry spending in May saw a significant increase of 10.1% year-over-year, according to data from Citigroup. This figure stands in stark contrast to the U.S. Department of Commerce’s estimate of only 2.9% for the same period.Citigroup’s analysis is based on the spending habits of over 10 million U.S. credit card holders. In comparison, the Department of Commerce uses its own estimates, later revising them with actual transaction data.

Luxury watch spending also showed a substantial rise, with Citi reporting a 14.7% increase, while the Department of Commerce reported a more modest 2.4% rise.

Overall luxury goods spending, though still weak, showed signs of recovery in May, declining by 1.7% year-over-year. This is an improvement from April’s 6.8% decline and March’s 8.5% decline.

Since September 2024, luxury jewelry has consistently outperformed other luxury segments, including handbags and apparel. In May 2025, jewelry was the only category to experience growth in both average spend per customer and the number of individual customers. This suggests a growing consumer preference for jewelry over other luxury items like handbags.