Q2 Auction Results Prove My Theory
Written By: Anonymous on Tue, Aug 19th 2008
In the months of 2008, from April - June, $66 million dollars were spent on collectible wine in the US. Like I said, people who collect at this level aren't too worried about how much gas has gone up whether that gas is going into an S-Class, a Chris Craft, or a Gulfstream. Seriously though, 66 million? Wow. What I really loved about the results that are coming is that Burgundy is running the show. Listen up, three bottles. Three bottle of 2005 DRC Romanee Conti fetched $45,410 at Zachys. 2005's no less. Granted that was one of the best vintages in years for red Burgundies, but yikes that's a lot for three bottles of wine that isn't anywhere near ready to drink. So was that a fluke on which I base my thought that Burgundy is ruling the roost? Well then check this out: a case of 1985 DRC Romanee-Conti went for $157,000 at Sotheby's - that's a 46 percent increase over the last time it was auctioned according WS. I like that kind of return. But there was one lot of Bordeaux that posted a higher return, a lot of five magnums of 1961 Latour that fetched $43,020 at Hart Davis, which was up a whopping 81 percent. So there is still money to be spent and money to be gained. What was really cool and something we will be focusing on in the coming months is that two of the auction houses (B&B, AM&C) both made inaugural trips to Hong Kong, since the tax has been lifted on non-Chinese wines, collectors, restaurants, and the Nouveau Riche of China had a field day, AM&C sold over $8 million in wine at their auction event. Not a bad days work there. Isn't it true that money follows money? The largest economy in the world right now, China, is seeing explosive interest in the finer things of the west. GM sold more Buicks in China than it did in the US. Wine is becoming a staple item in top restaurants with Szechuan chefs scratching their heads to find a wine to match their cuisine (look to Alsace, young man!) and top hotels that are now luxury destinations to the jet set are scrambling to assemble top-flight lists to pair with their restaurants. So it only makes sense that the auction houses should flock to China. We will be doing a few articles in the near future on the outbreak of wine related stuff in China, so stay tuned; it will be more than just a curiosity. So my words to you collectors who are looking make some scratch, brush up on Burgundy, because I see this sector only growing, and perhaps your Mandarin.
