DRC is bumping into the ceiling

[Alex_Valdes]

This reminds me of the hot take corner of the rousseau ws dinner.

If you want a spike in AL pricing all you need to do is get the right rating

Fixed to be more correct, I think Certainly for Arnoux Lachaux the critical praise is a massive part of the equation.

Thanks for adjustment

I agree, both the critics and tastemakers have shown a lot of praise and that has driven people to buy with confidence. The challenge is, once that push is done and people actually drink, will they continue to buy and say laudatory things to drive others to buy? CLB and Bizot have made it through that part of the cycle. We will see what happens with AL. I am not buying at those prices…

[Greg_K]

If you want a spike in AL pricing all you need to do is get the right rating

Fixed to be more correct, I think Certainly for Arnoux Lachaux the critical praise is a massive part of the equation.

Thanks for adjustment

I agree, both the critics and tastemakers have shown a lot of praise and that has driven people to buy with confidence. The challenge is, once that push is done and people actually drink, will they continue to buy and say laudatory things to drive others to buy? CLB and Bizot have made it through that part of the cycle. We will see what happens with AL. I am not buying at those prices…

Oh, neither am I, certainly! And, to be fair, Bizot was not a critical darling (neither was Ente), but they have been outliers and are marked primarily by remarkable scarcity.

I also think judging prices of wines sold by a retailer who routinely offers sought after wines at the very high end of the market is not necessarily the best ways to gauge the market. That 2018 RSV is still available

[Alex_Valdes]

Oh, neither am I, certainly! And, to be fair, Bizot was not a critical darling (neither was Ente), but they have been outliers and are marked primarily by remarkable scarcity.

Curious to know people’s views on how much tastemakers vs critics matter in different regions. In Burgundy it feels very tastemaker not critic where Napa feels the opposite. My sense doesn’t have a good analysis behind it (which makes me weary)

I also think judging prices of wines sold by a retailer who routinely offers sought after wines at the very high end of the market is not necessarily the best ways to gauge the market. That 2018 RSV is still available

That’s why 1) transactions not offers are real prices and 2) just because someone transacted at that level doesn’t mean you will (either high or low). Consistent transactions are more reliable.

[Greg_K]

Oh, neither am I, certainly! And, to be fair, Bizot was not a critical darling (neither was Ente), but they have been outliers and are marked primarily by remarkable scarcity.

Curious to know people’s views on how much tastemakers vs critics matter in different regions. In Burgundy it feels very tastemaker not critic where Napa feels the opposite. My sense doesn’t have a good analysis behind it (which makes me weary)

I also think judging prices of wines sold by a retailer who routinely offers sought after wines at the very high end of the market is not necessarily the best ways to gauge the market. That 2018 RSV is still available

That’s why 1) transactions not offers are real prices and 2) just because someone transacted at that level doesn’t mean you will (either high or low). Consistent transactions are more reliable.

On tastemakers vs critics, I think its often symbiotic, but the tastemaker’s role is easier in Burgundy when you can turn the market for small production wines - there simply aren’t many small production wines in Napa. Napa is also a much more commercial enterprise and on a bigger scale. If I have a big enough Instagram following and a Burgundy producer makes a one barrel cuvee, it doesn’t take much. Who in Napa would bother with a production that small?

I completely agree with you on transactions vs offers, especially for mostly illiquid assets unless you have a consistent price pattern.

[Jon_Lawrence]

I like to look at auction for current market value, retail is all over the place. Acker just sent out its mid-year 2022 report and looks like the fine wine market is down YTD, but much less so than other investment assets. The pace has definitely cooled for many of the top 20 vs last year. If you have an account with Acker you can get much more detail. For example, they show that Rayas is up 98.6% for the 12 months ended 6/30/22, Leroy 48.4%, Coche 52.1%, but DRC up “only” 15.8%.


https://ackerwines.co/webpages/marketing-reports/Acker-Markets-Report-Mid-Year-2022.pdf

[David_Kubiak]

Just tuned in to HDH and two successive DRC lots were passed, the first RC itself.

[Ethan_Abraham]

Feels like everyone went to their beach house as lots of stuff going for very low this afternoon. A case of 2000 Palmer went for 400/per earlier in the afternoon and another just hammered at $320!