The Art Market is Down. A Cyberattack at Christie’s May Make Things Worse.
Kanebridge News
    HOUSE MEDIAN ASKING PRICES AND WEEKLY CHANGE     Sydney $1,655,505 (-0.06%)       Melbourne $994,898 (+0.02%)       Brisbane $991,841 (+1.33%)       Adelaide $889,373 (+1.26%)       Perth $861,566 (+0.49%)       Hobart $729,893 (-1.65%)       Darwin $669,344 (+0.35%)       Canberra $999,769 (+1.27%)       National $1,055,910 (+0.34%)                UNIT MEDIAN ASKING PRICES AND WEEKLY CHANGE     Sydney $749,436 (-0.10%)       Melbourne $494,327 (+0.46%)       Brisbane $554,094 (+2.77%)       Adelaide $439,361 (-1.14%)       Perth $456,655 (-0.27%)       Hobart $524,871 (-0.43%)       Darwin $349,455 (+1.52%)       Canberra $494,554 (-1.96%)       National $530,871 (+0.07%)                HOUSES FOR SALE AND WEEKLY CHANGE     Sydney 10,048 (-72)       Melbourne 14,823 (-272)       Brisbane 7,999 (+9)       Adelaide 2,372 (-66)       Perth 6,238 (-89)       Hobart 1,265 (-29)       Darwin 232 (-6)       Canberra 1,020 (0)       National 43,997 (-525)                UNITS FOR SALE AND WEEKLY CHANGE     Sydney 8,719 (-61)       Melbourne 8,033 (-189)       Brisbane 1,615 (-4)       Adelaide 391 (-5)       Perth 1,570 (-29)       Hobart 203 (-10)       Darwin 394 (-6)       Canberra 1,010 (+7)       National 21,935 (-297)                HOUSE MEDIAN ASKING RENTS AND WEEKLY CHANGE     Sydney $820 ($0)       Melbourne $600 (-$10)       Brisbane $640 ($0)       Adelaide $610 ($0)       Perth $670 ($0)       Hobart $550 ($0)       Darwin $700 ($0)       Canberra $680 ($0)       National $668 (-$1)                UNIT MEDIAN ASKING RENTS AND WEEKLY CHANGE     Sydney $750 (-$25)       Melbourne $550 ($0)       Brisbane $630 ($0)       Adelaide $500 ($0)       Perth $640 (+$13)       Hobart $450 ($0)       Darwin $513 (+$13)       Canberra $570 ($0)       National $589 (-$2)                HOUSES FOR RENT AND WEEKLY CHANGE     Sydney 5,497 (+71)       Melbourne 5,818 (+35)       Brisbane 4,141 (+99)       Adelaide 1,399 (0)       Perth 2,377 (+32)       Hobart 400 (+17)       Darwin 111 (+17)       Canberra 604 (+9)       National 20,347 (+280)                UNITS FOR RENT AND WEEKLY CHANGE     Sydney 9,083 (+248)       Melbourne 4,637 (+100)       Brisbane 2,182 (-27)       Adelaide 393 (+2)       Perth 731 (-10)       Hobart 130 (-7)       Darwin 144 (-8)       Canberra 684 (+72)       National 17,984 (+370)                HOUSE ANNUAL GROSS YIELDS AND TREND       Sydney 2.58% (↑)        Melbourne 3.14% (↓)       Brisbane 3.36% (↓)       Adelaide 3.57% (↓)       Perth 4.04% (↓)     Hobart 3.92% (↑)        Darwin 5.44% (↓)       Canberra 3.54% (↓)       National 3.29% (↓)            UNIT ANNUAL GROSS YIELDS AND TREND         Sydney 5.20% (↓)       Melbourne 5.79% (↓)       Brisbane 5.91% (↓)     Adelaide 5.92% (↑)      Perth 7.29% (↑)      Hobart 4.46% (↑)      Darwin 7.63% (↑)      Canberra 5.99% (↑)        National 5.77% (↓)            HOUSE RENTAL VACANCY RATES AND TREND       Sydney 0.8% (↑)      Melbourne 0.7% (↑)      Brisbane 0.7% (↑)      Adelaide 0.4% (↑)      Perth 0.4% (↑)      Hobart 0.9% (↑)      Darwin 0.8% (↑)      Canberra 1.0% (↑)      National 0.7% (↑)             UNIT RENTAL VACANCY RATES AND TREND       Sydney 0.9% (↑)      Melbourne 1.1% (↑)      Brisbane 1.0% (↑)      Adelaide 0.5% (↑)      Perth 0.5% (↑)      Hobart 1.4% (↑)      Darwin 1.7% (↑)      Canberra 1.4% (↑)      National 1.1% (↑)             AVERAGE DAYS TO SELL HOUSES AND TREND       Sydney 30.3 (↑)      Melbourne 31.5 (↑)      Brisbane 31.7 (↑)        Adelaide 25.7 (↓)     Perth 35.4 (↑)      Hobart 33.7 (↑)        Darwin 36.2 (↓)     Canberra 32.0 (↑)        National 32.1 (↓)            AVERAGE DAYS TO SELL UNITS AND TREND       Sydney 31.3 (↑)      Melbourne 31.9 (↑)      Brisbane 32.1 (↑)        Adelaide 24.8 (↓)       Perth 38.7 (↓)     Hobart 37.6 (↑)        Darwin 46.5 (↓)     Canberra 39.2 (↑)        National 35.3 (↓)           
Share Button

The Art Market is Down. A Cyberattack at Christie’s May Make Things Worse.

The auction house plans for sales to proceed, including for a Warhol ‘Flowers’ estimated at $20 million

By KELLY CROW
Wed, May 15, 2024 9:40amGrey Clock 3 min

Christie’s remained in the grip of an ongoing cyberattack on Tuesday, a crisis that has hobbled the auction house’s website and altered the way it can handle online bids. This could disrupt its sales of at least $578 million worth of art up for bid this week, starting tonight with a pair of contemporary art auctions amid New York’s major spring sales.

Christie’s said it has been grappling with the fallout of what it described as a technology security incident since Thursday morning—a breach or threat of some kind, though the auction house declined to discuss details because of its own security protocols. Christie’s also declined to say whether any of the private or financial data it collects on its well-heeled clientele had been breached or stolen, though it said it would inform customers if that proves to be the case.

“We’re still working on resolving the incident, but we want to make sure we’re continuing our sales and assuring our clients that it’s safe to bid,” said Chief Executive Guillaume Cerutti.

Sotheby’s and Phillips haven’t reported any similar attacks on their sites.

Christie’s crisis comes at a particularly fragile moment for the global art market. Heading into these benchmark spring auctions, market watchers were already wary, as broader economic fears about wars and inflation have chipped away at collectors’ confidence in art values. Christie’s sales fell to $6.2 billion last year, down 20% from the year before.

Doug Woodham, managing partner of Art Fiduciary Advisors and a former Christie’s president, said people don’t want to feel the spectre of scammers hovering over what’s intended to be an exciting pastime or serious investment: the act of buying art. “It’s supposed to be a pleasurable activity, so anything that creates an impediment to enjoying that experience is problematic because bidders have choices,” Woodham said.

Aware of this, Cerutti says the house has gone into overdrive to publicly show the world’s wealthiest collectors that they can shop without a glitch—even as privately the house has enlisted a team of internal and external technology experts to resolve the security situation. Currently, it’s sticking to its schedule for its New York slate of six auctions of impressionist, modern and contemporary art, plus two luxury sales, though one watch sale in Geneva scheduled for Monday was postponed to today.

The first big test for Christie’s comes tonight with the estimated $25 million estate sale of top Miami collector Rosa de la Cruz, who died in February and whose private foundation offerings include “Untitled” (America #3),” a string of lightbulbs by Félix González-Torres estimated to sell for at least $8 million.

Cerutti said no consignors to Christie’s have withdrawn their works from its sales this week as a result of the security incident. After the De la Cruz sale, Christie’s 21st Century sale on Tuesday will include a few pricier heavyweights, including a Brice Marden diptych, “Event,” and a Jean-Michel Basquiat from 1982, “The Italian Version of Popeye Has no Pork in his Diet,” each estimated to sell for at least $30 million.

But the cyberattack has already altered the way some collectors might experience these bellwether auctions at Christie’s. Registered online bidders used to be able to log into the main website before clicking to bid in sales. This week, the house will email them a secure link redirecting them to a private Christie’s Live site where they can watch and bid in real time. Everyone else will be encouraged to call in or show up to bid at the house’s saleroom in Rockefeller Center in Midtown Manhattan.

If more bidders show up in person, the experience might prove to be a squeeze. During the pandemic, Christie’s reconfigured its main saleroom from a vast, well-lit space that could fit several hundred people into a spotlit set that more closely evokes a television studio, with far fewer seats and more roving cameras—all part of the auction industry’s broader effort to entice more collectors as well as everyday art lovers to tune in, online.

Once this smaller-capacity saleroom is filled, Christie’s said it will direct people into overflow rooms elsewhere in the building. Those who want to merely watch the sale can’t watch on Christie’s website like usual but can follow along via Christie’s YouTube channel.

Art adviser Anthony Grant said he typically shows up to bid on behalf of his clients in these major sales, though he said his collectors invariably watch the sales online as well so they can “read the room” in real time and text him updates. This week, Grant said a European collector who intends to vie for a work at Christie’s instead gave Grant a maximum amount to spend.

Grant said the cyberattack popped up in a lot of his conversations this past weekend. “There’s a lot of shenanigans going on, and people have grown so sensitive to their banks and hospitals getting hacked,” he said. “Now, their auction house is going through the same thing, and it’s irksome.”



MOST POPULAR
11 ACRES ROAD, KELLYVILLE, NSW

This stylish family home combines a classic palette and finishes with a flexible floorplan

35 North Street Windsor

Just 55 minutes from Sydney, make this your creative getaway located in the majestic Hawkesbury region.

Related Stories
Money
The sticky economic factor making an interest rate drop unlikely this year
By Bronwyn Allen 30/05/2024
Money
Stocks Are Wobbling. Follow These 3 Rules for Better Returns.
By IAN SALISBURY 30/05/2024
Money
The Loneliness of the American Worker
By TE-PING CHEN 29/05/2024
The sticky economic factor making an interest rate drop unlikely this year

It’s a key indicator in the RBA board’s decision making process, but it is proving difficult to move in the right direction

By Bronwyn Allen
Thu, May 30, 2024 2 min

The consumer price index (CPI) rose in April to an annual rate of 3.6 percent, which was 0.1 percent higher than in March, raising doubts about an interest rate cut this year as inflation starts looking stickier than expected. This is the second consecutive month of small rises, potentially indicating that Australia is experiencing the same stalled progress in bringing inflation down that is being seen in the United States, as both nations approach their central banks’ target inflation bands.

In Australia, the target inflation band is 2 to 3 percent, with the Reserve Bank of Australia (RBA) aiming to achieve the midpoint under its new agreement with the Federal Government following a formal review. In its interest rate decision-making, the RBA does not give as much weight to the monthly inflation data because not all prices are measured like they are in the quarterly data. On a quarterly basis, inflation has continued to fall. In the March quarter, the annual rate of inflation was 3.6 percent, down from 4.1 percent in December, according to the Australian Bureau of Statistics (ABS).

CBA economist Stephen Wu noted the April data was above the bank’s forecast of 3.5 percent as well as the industrywide consensus forecast of 3.4 percent. He predicts the next leg down in inflation won’t be until the September quarter, when we will see the effects of electricity rebates and a likely smaller minimum wage increase to be announced by the Fair Work Commission next month compared to June 2023.

The most significant contributor to the April inflation rise were housing costs, which rose 4.9 percent on an annual basis. This reflects a continuing rise in weekly rents amid near-record low vacancy rates across the country, as well as significantly higher labour and materials costs which builders are passing on to the buyers of new homes, as well as renovators.

The second biggest contributor was food and non-alcoholic beverages, up 3.8 percent annually, reflecting higher prices for fruit and vegetables in April. The ABS said unfavourable weather led to a reduced supply of berries, bananas and vegetables such as broccoli. The annual rate of inflation for alcohol and tobacco rose by 6.5 percent, and transport rose by 4.2 percent due to higher fuel prices.

Robert Carnell, the Asia Pacific head of research at ING, said they no longer expect a rate cut this year after seeing the April data. Mr Carnell said an increase in trend inflation was apparent and “rate cuts this year look unlikely”. In the RBA’s latest monetary policy statement, published before the April CPI was released, it said: “Inflation is expected to be higher in the near term than previously thought due to the stronger labour market and higher petrol prices. But inflation is still expected to return to the target range in the second half of 2025 and to reach the midpoint in 2026.”

 

MOST POPULAR
11 ACRES ROAD, KELLYVILLE, NSW

This stylish family home combines a classic palette and finishes with a flexible floorplan

35 North Street Windsor

Just 55 minutes from Sydney, make this your creative getaway located in the majestic Hawkesbury region.

Related Stories
Lifestyle
Should AI Have Access to Your Medical Records? What if It Can Save Many Lives?
By DEMETRIA GALLEGOS 28/05/2024
Lifestyle
The Problem With Behavioural Nudges
By Evan Polman and Sam J. Maglio 27/05/2024
Property
The suburbs where we’re building the most new homes
By Bronwyn Allen 28/05/2024
0
    Your Cart
    Your cart is emptyReturn to Shop