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WineCap data highlights trends in fine wine market

Published:  11 July, 2024

WineCap’s Q2 2024 report has revealed key data on macroeconomic influences, the Bordeaux 2023 En Primeur campaign, top-performing wines and the Q3 outlook.

In Q2, markets built on Q1 successes, showing positive returns for risk assets. Global equity markets thrived on resilient economic growth and rising investor confidence. UK investment sentiment improved post the Labour party’s landslide election win.

The fine wine market remained a buyers’ market, with Burgundy and Champagne prices dropping the most. Bordeaux back vintages saw rising demand and prices post the 2023 En Primeur campaign. The standout wine was the 100-point Château Léoville Las Cases 2016. The En Primeur campaign had mixed results with few significant successes despite general price cuts. Top releases included the First Growths, their second wines, Beychevelle, and Cheval Blanc.

Sotheby’s Burgundy sale broke auction records, and Marchesi Antinori took full ownership of the Washington State winery Col Solare. Latour 2009 offers a top buying opportunity with perfect scores at a favourable price. The autumn La Place de Bordeaux campaign is anticipated after a summer lull.

Global equity markets delivered positive results in Q2, supported by resilient economic growth and positive earnings expectations. The same resilience presented risks for fixed-income investments. UK investment sentiment improved with the Labour party’s win, boosting the British pound and the UK-focused FTSE 250 index.

Fine wine prices continued to decline, with the Liv-ex 1000 index at its August 2021 level. Trade volumes were higher than last year, indicating buyers capitalising on favourable prices. Some top-performing wines increased by up to 20%.

Opportunities emerged during the 2023 Bordeaux En Primeur campaign, with the best new releases offering quality and value. Bordeaux prices fell 1.8% in Q2, making back vintages more attractive. The Bordeaux Legends 40 index, tracking older vintages, was the only index to rise as the campaign concluded.

Secondary market prices fell in Q2, with the Liv-ex 1000 index down 2.4%, led by Burgundy 150 (-3.9%) and Champagne 50 (-3.7%). Italy showed resilience, with some brands gaining up to 15% in the last six months. In June, the Bordeaux Legends 40 index rose 0.3%, its first positive movement in a year.

Top wines this quarter included Château Léoville Las Cases 2016 (+19.4%) and Château Angélus 2019 (+19.1%). Domaine Bonneau du Martray Corton-Charlemagne Grand Cru 2020 rose 15.2%, while Dom Pérignon Rosé 2009 saw a 9.6% increase. Dom Pérignon Rosé 2009 prices have risen 83% over the last decade.

Sotheby’s Burgundy sale on 5 July 2024 broke eight world records, achieving €2m. Highlights included Chevalier Montrachet d’Auvenay 2009 (€106,250) and Domaine Armand Rousseau Chambertin Clos de Bèze 1990 (€100,000). Pierre Chen’s fine and rare Champagne collection achieved €1.35m last month at Sotheby’s Paris.

The market is expected to slow down during the summer lull, according to WineCap. However, many opportunities remain. The fine wine market will focus on global wines as the autumn La Place de Bordeaux campaign begins, with esteemed producers unveiling their latest vintages, likely driving secondary market prices.