Tuesday 15 March 2011

Market Update

Posted by Tom Jenkins, Bordeaux Buyer
Amid the general unease about the state of the global economy, we are frequently quizzed about the health of the wine market. The last data released by Liv-ex showed the Liv-ex 100 up 3.9% at 444.55; a year on year rise of just over 41%. This sustained rally has largely been due to the enormous demand for First Growths in the rapidly expanding Chinese market. New figures now confirm that the so called `Super Seconds` have been pitching in too. Brands such as Lynch Bages and Pontet Canet (both technically 5th growths...) along with the likes of Montrose, Cos d’Estournel, both the Pichons, Leoville Las Cases and Ducru Beaucaillou have enjoyed steady (if not spectacular) gains.

Of course, events in Japan, stratospheric prices for First Growths and the impending 2010 Bordeaux campaign have the potential to bring an abrupt end to the bull-run; but only time will tell. At present, Haut Brion and Mouton Rothschild are enjoying the top spot (in terms of demand if not price) and the `Super Seconds` still look attractive to those seeking First Growth quality without the price tag.