Real Hematite, Manmade Hematite, and Magnetite
Real hematite is extremely rare and highly expensive, and usually not suitable for bead drilling or cabbing in its natural form. Therefore, most beads and cabs on the market sold as hematite are simulated, or else formed from ground hematite dust. Manmade hematite is still made out of iron oxide in most cases. Components labeled "magnetic hematite" are typically manmade, and these are even more magnetic than natural hematite, which only has a weak magnetic draw. You may see names like "hemalyke," "hematine," and "hemalike" labeling the manmade hematite. Most beads are not magnetic, but some may be attracted to a magnet.
Hematite might be confused with magnetite, which is also an iron oxide, and in some cases, called lodestone. This form of iron oxide can be naturally magnetic, much more so than hematite. In some forms of manmade hematite, the hematite powder is mixed with magnetite for additional potency. So while manmade hematite is not very natural, it still has a base in nature.
Hematite cabochon wrapped in stainless steel wire by Zoraida Bros, with matching hematite bead earrings.