Indian art market shows signs of recovery

Indian Art Market Confidence Survey - Nov 2009

Source: Art Tactic

SURVEY HIGHLIGHTS:

The overall confidence in the Indian art market has bounced back after reaching an all-time low 6 months ago. The Confidence Indicator for the Indian Art Market is now standing at 49, up from 20 in May 2009.

Modern Indian art market leads the recovery , with the Confidence Indicator now in positive territory. The Confidence Indicator in the Modern Indian market is now standing at 54, signalling that there is more positive than negative sentiment in this particular market sector.

Contemporary Indian market confidence is lifted out of the gloom, but still in negative territory . The Indicator is now standing at 38 (below the equilibrium 50 level), indicating that the gloom that characterised the result in May 2009, is gradually lifting.

Speculation Risk increases by 37% in the Modern Indian art market , as respondents are concerned that the downturn could offer an opportunity for speculators to re-enter the market. The Speculation Barometer in the contemporary market remains 40% lower than at the peak of the market.

The Indian art market could face further downward pressure on prices , as 61% of the respondents believe the Modern Indian market could face more downward pressure on prices. In the Contemporary Indian market, 75% of the respondents believe that prices will continue to decrease.