The fine wine market is facing a slowdown, a new report from Liv-ex has warned, with all indices in decline in June. This stand in contrast to the gains seen across the major financial markets – a trend reflected in the year-to-date figures. According to Liv-ex, its benchmark Liv-ex 100 index, which tracks the 100 most-traded fine wines on the secondary market, has seen a 6.1% drop since the start of the year, while the Liv-ex Fine Wine 50, which monitors the price of First Growths, has dropped by 5.2%. The broadest measure of the market, the Liv-ex Fine Wine 1000 is also down 6.8% year-to-date, it said. Meanwhile The Champagne 50 recorded a “significant” decrease of 10.3% in the year to date, while the Rhône 100 faced the largest decline in June of around 3.1%. This year has seen a “substantial” drop of 15%, making it the poorest performer of the year so far. The report pointed out the “significant challenges” to the global economy, notably the rise of inflation in major economies, which it said “added to the complexity of the current economic landscape”. For example the United States if facing a potential recession, while market speculation has contributed to increased volatility, Europe has continued to see a turbulent environment with interest rates raised to their highest level in 20 years, and the UK still grappling with curbing inflation. Meanwhile China is facing faltering consumer confidence and a slowdown of growth. Against this backdrop, there has been a positive performance for the
This Article was originally published on The Drink Business - Champagne
