Talking Trade – First Growths find favour in March

Nearly three weeks into March and the Fine Wine Market has continued its broadening. So far this year the number of distinct wines traded is up 41.8% on the equivalent period in 2020.

Prices have been on the move too, as represented by the Liv-ex Fine Wine 50 (First Growths), which continues to appreciate.

It has been something of a rocky road over the past 18 months for this important index. In August  2019, due to series of headwinds, the index was set adrift for seven months. Since March 2020, however, we have observed a solid recovery and 11 months of gains has brought it back to pre-dip levels.

The Fine Wine 50 is up 1.54% on the year-to-date – a 1.14% rise in March alone.

March has been the largest month of trade by value in the past year for the First Growths.

Bordeaux’s trade share held around 40% – its 2020 share was 42%. The 2018 vintage, on account of the new in-bottle reports, was this week’s most traded by value with nearly 20 wines from the vintage finding bids.

The 2018 vintage also found favour in Burgundy and the USA, making up nearly a third of those regions’ trades by value.

The Rhone saw another jump from the week prior and has benefited from the return of US buyers.

From the Rest of the World, wines from Chile, Australia, Switzerland, Lebanon and more changed hands.

Chateau Lafite Rothschild 2018 was the top traded wine of the week. This is the second week running the wine has topped this list and it traded this week 2.85% higher than last. The wine is the most traded 2018 Bordeaux by value year-to-date.

The recently physical 2018 Screaming Eagle was also near the top of the list this week. The wine’s 2017 vintage was released exclusively in magnum (150cl) due to the wildfires in the area. 2018 is a relative return to normality with the wine back in 75cl bottles.

Domaine de Lambrays 2019 was released earlier this week. Its flagship wine, Clos de Lambrays 2019, was released at £4,320 per 12×75 SIB (£1,080 per 3×75). This represents an increase of 99% on the current market price of the 2018 (£2,166), which last traded at £1,964 per 12×75.

The changing face of Piedmont: a look inside its secondary market

Shifting patterns are starting to emerge. Piedmont is seeing more trade, as an expanded pool of wines on offer attract regular buyers. Read the full analysis here.