Wine Index Wobbles: Liv-ex 1000 Takes a Steep October Slip
October’s trading data cut a clear profile of decline in the fine wine index, the Liv-ex 1000, marking a 1.4% descent—outstripping the dips of both September and August. The Liv-ex 100 fared worse, tumbling by 2.1%, while the prestigious First Growth tracker, the Liv-ex 50, wasn’t spared, recording a 1.9% downturn. Even the Champagne 50, buoyant until recently, succumbed to a notable 2.5% fall. In a solitary uptick, the Rest of the World 60 index nudged forward by 0.2%, its modest rise buoyed by California’s offerings for the second consecutive month.
The market’s oscillations last month suggested a potential leveling off, but October’s figures have shelved that notion for the time being, as per the latest report.
Transaction values mirrored the downturn; the Liv-ex 100 saw wines trading at a discount of 3.05% below market value, a decline from the previous month’s 1.73%. The broader Liv-ex 1000 index reported a slightly less pronounced dip, with transactions closing at 2.55% under market rate, an improvement from September’s 3.19%.
Year-to-date, all subsections of the Liv-ex 1000 bear the scars of consistent month-on-month shrinkage. The Liv-ex Bordeaux 500 index’s year-to-date plummeted by 9.3%, with Burgundy 150 and Champagne 50 indices faltering by 14.1% and 15.3%, respectively. Italy’s resilience showed the least contraction at 5.7%, while the Rhone led the declines with a stark 18.1% fall.
Yet, a broader perspective reveals a silver lining over the past two years, with the Bordeaux Legends 40 index appreciating by 1.9% and Italy 100 by 6.7%. The Burgundy 150 and Champagne 50 indices even boast robust double-digit escalations of 16.4% and 15%, respectively. Over a span of five years, the Liv-ex Bordeaux 500 climbed by 6.3%, with the Rhone and the rest of the world indices also experiencing gains of 4.1% and 8.7%.
