What’s happening in the market?
The USA has seen a jump in trading activity over the weekend, accounting for 15.33% of regional trade by value by close of play on Monday, after ending last week at 7.0%. This uptick can be attributed to the active trading of wines from Promontory, particularly the 2017 and 2018 vintages, as well as Opus One 2018.
Champagne’s trade share also increased from 9.6% at the end of last week to 11.8% after the weekend, buoyed by wines from Bollinger and Louis Roederer changing hands over the weekend.
Today’s deep-dive: Wines in the Bordeaux 500
Last month, the Liv-ex Fine Wine 1000 declined by 1.0%; within its sub-indices, the Bordeaux 500 contributed to its decline by falling a further 0.8%. In this Market Update we’ll delve deeper into the index to identify the wines in the Bordeaux 500 that have seen the most trading and search activity in the last 30 days.
Which Bordeaux 500 wines were the most in-demand in the last 30 days?
Château Pontet-Canet was popular in the last 30 days with three vintages among the most bid-for (2019, 2016, and 2020). The 2019 vintage reached its highest trade price of £1,160 per case in March 2022. However, it has since seen a 31.0% decline, now trading at £800 per case. This decline could be attributed to a downgrade in its score by Neal Martin, who initially rated it 96 points in February 2022 but revised it to 92 points after a blind tasting in January 2023.
Despite this decline, the wine has still managed a 9.3% increase from its release price of £732 per case, which combined with sustained trading activity indicates potential for further growth.
Château Pontet-Canet 2019 trades on Liv-ex
Which Bordeaux 500 wines were the most searched-for on Liv-ex in the past 30 days?
When it comes to the most searched-for wines, First Growths Châteaux Lafite Rothschild and Mouton Rothschild dominated the past 30 days. Lafite’s second wine, Carruades de Lafite, also saw interest.
Pétrus’ 2020 and 2019 vintages also featured on the list. These wines appear in the list of most traded wines by value due to their very high prices (see below); however, they lag behind in terms of volume compared to other wines.
Which Bordeaux 500 wines were the most traded in the last 30 days?
While the most traded wines by value were primarily the most expensive labels in Bordeaux (Pétrus, Château Lafite and Carruades), in terms of volume the wines are more varied. Nonetheless, second wines Carruades de Lafite and Le Petit Mouton de Mouton Rothschild experienced heightened activity, which could be attributed to their relatively affordable prices compared to First Growths.
What’s the trading trend for Bordeaux 500 wines in relation to Market Price?
Recent trading activity of wines in the Bordeaux 500 shows a shift in trading prices. In the third quarter of 2022, the average trade for Bordeaux 500 wines was 0.02% above Market Price. In comparison, in Q3 2023, Bordeaux 500 wines were traded on average 3.22% below Market Price.
The chart also shows that in Q3 2023, 20.0% of Bordeaux 500 wines were traded at a 10% discount to their Market Price and 9.1% of wines at a 15% discount. During Q3 2022, only 14.9% were bought at a 10% discount to their Market Price and 2.6% at a 15% discount.
These figures show that buyers are now on the whole acquiring Bordeaux 500 wines at lower prices compared to the same time last year.
There are currently 5,376 LIVE offers for Bordeaux wines on Liv-ex. Log in to the exchange to view them and trade. Additionally, you can use the new ‘Save to List Studio‘ function to add these wines to a custom list (e.g. a ‘wish list’ or ‘watch list’) to which you can return to at any time.
In case you missed it:
Here’s what we’ve been reading:
- Liv-ex: What’s driving stability in the Italy 100?
- Harpers: Fine wine trading decline slows, but ‘no clear bottom in sight’ says Liv-ex
- Decanter: Liv-ex names top-traded wines amid ‘risk-averse’ market
Liv-ex analysis is drawn from the world’s most comprehensive database of fine wine prices. The data reflects the real time activity of Liv-ex’s 620+ merchant members from across the globe. Together they represent the largest pool of liquidity in the world – currently £100m of bids and offers across 20,000 wines.
