Liv-ex recently published their report for June and here are the main takeaways:
Fine wine outperforms gold as inflation rises
Fine wine prices continued their steady ascent in May, while US stocks closed the month out at similar levels to where they had started. The Liv-ex 100 went up 0.7% – the same increase as the previous two months – while the Liv-ex 1000 made a more notable move of 1.6%. The indices outperformed the traditional safe-haven gold, proving that fine wine can perform well during inflation and economic uncertainty.
Grand Cru Burgundy was once again in focus, comprising many of the Liv-ex 100 and Liv-ex 1000‘s best price performers in May. Year-to-date, the Burgundy 150 sub-index is up 22.3%, outperforming all other regions and the broader market. The 2019 Burgundy vintage was met with the most demand in May.
The 2019 was also the most traded Bordeaux vintage by both value and volume. The 2014 ranked second by volume, as buyers noticed the value it offers in relation to this year’s En Primeur campaign. The 2014s are also the best-rated Bordeaux ‘off’ vintage since 2005 and the second lowest-priced vintage. The final section of this report examines the En Primeur campaign so far and the question of value in more detail.
Regional trade share in May
The chart below shows the regional breakdown (across France) of secondary market trade by value in May this year.
Burgundy (27.3%) – increased from 22.6% in April
Bordeaux (34.3%) – increased from 33.2% in April
Champagne maintained its level at 11.9%