15 October 2009
The Magic of Woodworking
"In last year's issue of this annual paper, we ran with the headline - The End or a New Beginning? One year on, it's clearly a new beginning.
The art market ended its spring/summer season on a more optimistic note than many had predicted. Sales in Hong Kong, New York and London were clearly showing signs of a market levelling out. In June, London's contemporary evening sales raised £42.3 million against a low estimate of £42.6 million. although the total was 76% lower than June 2008, it was still an encouraging 63% higher than what was achieved in February 2009.
Global stockmarkets have experienced a rapid price appreciation since reaching a low in March this year. However, the market runs the risk of running out of steam as the recovery in the US seems to be dragging on longer than expected, increasing the danger of a double-dip recession – which could have consequences for the art market recovery process.
So where is the contemporary art market going from here? Sideways, is the most likely scenario. The results from the recent contemporary art auctions in New York were encouraging, and came in-line with the market expectations. Sotheby's sold 75.1% by lot and 85% by value, raising $5.5 million, which was roughly half the amount raised in September 2008 ($10.5 million). Christie's achieved a similar result, with 83% sold by lot and 88% sold by value. (...)
ArtTactic's most recent US and European Art Market Confidence survey in June 2009, also confirmed that confidence is coming back, after a 81% drop in December 2008. The survey indicated that the downturn in the contemporary art market could end sooner than initially anticipated, with 64% of the respondents believing the contemporary art market could rebound within the next 1-2 years."
– ArtTactic; An Insider's View to the Art Market, Autumn 2009 (a free newspaper handed out on the streets in front of Regent's Park, London, site of Frieze Art Fair)