Some of the Bearish Views on the Antique and Art Market in 2022
In 2022, all major developed countries in the world have chosen to give up in front of Covid-19. Not long ago, Denmark became the first country in the world to lift up all of the restrictions to prevent Covid-19 and announced to fully back to the normal life. Australia, as one of the developed countries, has also followed closely, and the Australian government has mentioned that the country will "officially lift the lockdown" in March. This also means that the post-epidemic era will officially arrive. So as the first year of the post-epidemic era, I doubt that the trend of the antique art market will be optimistic.
First of all, in order to recover and stimulate the economy, during the epidemic, governments led by the United States have adopted quantitative easing policies to boost the economy by cutting interest rates. This approach is effective in the short term. However, its after-effects are also very obvious. That's the expanding economic bubble, soaring property prices, and inflation. In Australia alone, the average property price in 2021 has already risen by nearly 22 per cent, and in some parts of Sydney or Melbourne, it has risen by a staggering 30 per cent. In addition, the rise in the prices of various food and raw materials has also caused people to complain. Therefore, the first thing governments need to do in 2022 is to pop the bubble and control the economic crisis. Real estate, etc. will inevitably bear the brunt. As a downstream industry of the real estate industry, the furniture industry will inevitably be affected. As the enthusiasm for real estate fades, the demand for furniture and antique furniture will inevitably decline, which will also drive prices down.
Secondly, as far as NFT digital artwork is concerned, along with the roller coaster of the price of Bitcoin, people have become more and more aware of the nature of virtual currency. Because of this, the digital artworks that were very popular last year will inevitably follow the trend and gradually fade out of people's vision. Peace of mind is my best consolation for those who have already invested in digital art.
Lastly, since I am in Australia myself, I don't know much about the art market in mainland China, so I dare not speak rashly. But what I want to say is that as far as the Chinese art market in Australia is concerned, the enthusiasm has also been wiped out by more than half. Last year, due to the closure of borders, the lack of tourists and the continuous lockdown of the city, people's pockets were not as rich as before, and they continued to tighten. This also includes the main force of Australian Chinese art purchases – Australian Chinese. A lot of fine items can't sell at the prices they were 2 or 3 years ago. If you still have ample funds on hand, perhaps, now is the best time for you to enter.
To sum up, I don't think Australia's antique art market will be smooth in 2022, it will be more or less tortuous, and even a little pessimistic. Be greedy when others are fearful. Be fearful when others are greedy. Perhaps, now is the best time for you to come to Australia to find treasures.