China Tells

During the global downturn since 2008, China’s Rich were better off instead thanks to the friendly domestic growth (See Graph from Chinatells). Thanks to the wealth increase of the riches, luxury goods and arts see strong growth in China, which is virtually the only bull market for such items in the world today (See Article from WSJ). In a late auction held by Christie in HK, Chinese buyers surprised the market watchers by paying hefty premiums for the luxury goods and paintings. It reminds me of the crazy days in late 80s when Japanese paid multiple millions for a painting by Van Goh. I never figured out why someone is willing to pay such a price for a canvas on the wall and whether the buyer really appreciates the value of the art. But in the end of the day, it doesn’t matter, does it? We are living in a world that money talks!

中国富人阶层的兴起对于全世界顶级的奢侈品行业无疑是一根救命稻草。在欧美富人纷纷财富缩水减少花销的同时，中国的富人们扛起了购买这些产品的大旗。50年风水轮流转，令人感叹。