Art market confidence decreases by 9% as economic gloom takes its toll.
The latest results from the ArtTactic US & European Art Market Confidence survey this month show that respondents continue to feel confident about the post-war and contemporary art market, although the economic crisis in Europe and slowing Asian economies have started to weigh in negatively on the general art market sentiment.
The overall Contemporary Art Market Confidence Indicator came in at 48 down from 56, a decrease of 8.6% since January 2012. A reading below 50, signals a market where there is more negative than positive sentiment.
A 37% drop in the Economic Confidence Indicator contributed to the fall in overall art market confidence. The confidence in the Primary market in the US and Europe saw a 2.1 % increase from 56 to 57, whilst the Confidence Indicator in the auction market fell from 68 to 67, a 1.2% decrease. The recent findings suggest that the confidence in the art market is holding up well despite the negative economic outlook.
Recent findings show that experts’ confidence in the $1 million plus price segment have increased from 81% feeling positive in January 2012 to 97% in June 2012. The Confidence Indicator for the top price-segment stands at 99, significantly above all the other price segments, and signals a strong market consensus and continued polarisation towards the high-end of the market.