Urban Art Association

I got laughed about six months ago for suggesting prices would come down, including Banksy prints.... It's happening and will continue to do so..... mark my words..... mwhhahahahahah...

Sadly the global economy is in such a mess. Fact.

Not yet, prices will fall. Everything is falling, so you have be be a idiot if you think art values won't drop.

na cant see prices falling myself

lol well put des. on the cards for a long time that one!!

Indeed. The training and weapons testing mission is coming to an end in Afghanistan, so worrying times ahead.

Don't think Banksy prices have been affected too much really. Infact, i'd say unsigned editions have been increasing in value and signed editions prices have remained very strong.

Market is cyclical anyway. Prices drop and rises again......

Anyway, no point in being alarmed at the moment. I don't see how people can say that art is in a bad state right now.

The Contemporary Evening November Session in NY just proved that the market is still going. You just have to see how many (personal & worlwide) records were broken this month.

The Urban Art market had a pretty good year. Banksy prints prices have been rising over the past year.

Obviously the high point was 2008 and the urban art market has been falling ever since. But the whole contemporary scene went downtown incl. the top tier Koons-Murakami-Hirst. People left the contemporary scene to go back to sure thing like old & modern masters (exact same reaction than with stocks...).

But A number of artists had pretty strong results (street art wise) this year.

You're talking about Mic prices as if it was something new.

It's just an addition of factors. Mic didn't produce much since 2007. NW didn't have great management either.

Obviously, prices go down when your investors stop backing you up and pushing your prices forward. Some artists takes the hype and others leaves it, especially with the contemporary scene.


But people forget that art is a market of its own. It's lightly correlated w/ the stock market but has different trends. Even inside the art market, the print & paintings trends are different (I can give a few examples if requested).

From experience, I can say that the category that suffers more the economic climate are middle range prices (ie 10s of thousands to a few 100s thousands). "Low Prices" usually stands still because of newcomers or ex middle range buyers. High prices still drive high prices (even if prices can go down) because rich people stay rich (or get richer).


If you take volatility in the context for such illiquid products, it ain't that bad really!

Below is a copy of an earlier thread and my comment then. Think it is still the same.
Art is not in recession butncountries are so people who fell less secure will be more hesitancy to buy. If they do they will buy safer as pert many of the comments here but less cash in general is available so the market is not so competitive. It pure economics.

So when you look at artists bucking the trend one could also say it is still affecting them as my be in. Non recessionary market they woul d have sold for higher - no one will ever know of course.

Some artists can also become more popular due to their art or messages meeting that feeling. The punk movement trend music etc was a part of this - yet the sex Pistols did well - if all the youth of the uk were loaded and had jobs they may not have been so successful. So you can only look at the whole market and less money means prices over all fall in terms of growth etc.

Art in general and not genres follows equity prices. Equities fall followed by real estate followed by luxuries. This is a Fact. Equities recover then sondomhouse prices and son do luxuries somthere is a delay in each stage.


It's a fact that they will if equities are low.

When equities are low the following happens - Real Estate prices drop followed by luxuries (art being a luxury).

When equities increase this is followed by a rise in real estate and then an increase in luxuries.

Based on the fact that equities indicate what is happening to companies if companies are not doing well this raises the fear or causes lossesof jobs so people stop buying houses and luxuries and hang on to the cash if they have any.

When companioes doing well jobs safe wages hopefully rise buy new house or ne wcar or Banksy print.

Always exceptions eg how come this goes up then. however could say did not go up as much as it would of if no equity dip or recession.

So it does and will happen to art prices as well. It has also over the last 10 years. there was a graph in an older post on art and equities that highlighted this over the last 10 years looking at the top 500 art prices.

if interested search it out as was very int.

Johnny

Things change. Always have, always will.

It's difficult to compare but annualized return from January 2000 to January 2011 of the S&p gives 0.31%. Not sure that most artist have such a low return (impossible to find out for the whole market though without bias).

You can't also compare (unfortunately) gallery prices with fair market value.

It's a mix of price manipulation, PR, management, hype....... etc

Most newly published art nowadays is overpriced at source (or inflated at gallery prices).

WOW... a nice depressing thread

^ ... ;D