THIS WEEK'S HOT TOPIC
With Frieze, Independent, and the rest of New York art week now behind us, the industry’s attention turns to the spring marquee auctions, which started late last week and continue at the top auction houses through Wednesday. You might have heard about some of the highlights so far: Sotheby’s sold a Mark Rothko painting for $85.8 million last Thursday, while yesterday Christie’s auctioned off a Jackson Pollock painting for $181.2m—a record for the artist and one of the top five most expensive auction purchases of all time—and a Constantin Brancusi sculpture for $107.6m—also an artist record—after recruiting Nicole Kidman to dance with it.
Even without movie stars, these sales draw outsized media attention relative to the percentage of people directly implicated. Why should the rest of us—we, the humble majority—care?
It brings to mind the famous “cerulean sweater" speech from The Devil Wears Prada—and not just because the sequel’s making bank at the box office this month. In the scene, Meryl Streep’s Anna Wintour-coded magazine editor, Miranda Priestly, hectors her new assistant at an editorial meeting for thinking she’s consciously opted out of fashion by wearing a decidedly unfashionable blue sweater. “That blue represents millions of dollars and countless jobs,” Streep’s character says, “and it’s sort of comical how you think that you’ve made a choice that exempts you from the fashion industry when, in fact, you’re wearing a sweater that was selected for you by the people in this room.”
In other words, the gatekeepers at the top of the market always shape the bottom, even if the trickle-down effect is blurred by the years over which it takes place. The same principle applies to this week’s auctions, though in this case the impact has less to do with taste than with money. When upper-echelon sales perform well, the potential for business at the bottom—the $5k–$20k tier, say—goes up. It might seem counterintuitive to root for auction houses to make more money, but we have to get our sweaters somewhere.
P.S. Want to know who bid and for how much? Subscribe to The Baer Faxt’s premium newsletter for saleroom insights this week.
3…THINGS TO KNOW ABOUT BIDDING AT AUCTIONS
1
If you’re serious about winning a lot, bid live. Leaving an absentee bid before the sale begins can work, but nothing replaces participating in real time once the lot hits the block. Attending an auction in person is exhilarating for some collectors, overwhelming for others. For many, the most reliable option is arranging a phone bid through the auction house a few days before the sale. A specialist will call when your lot is approaching and bid on your behalf as the auction unfolds. Online bidding is convenient, but technology can fail at the worst possible moment. You never want to lose a work because your internet connection froze mid-bid.
2
Whenever possible, see the work in person before bidding. Most major auction houses place their lots on public view in the days leading up to a sale, and visiting the exhibition can tell you far more than a PDF or online viewing room ever will. Condition, scale, texture, and color often read differently in person. Specialists are also available during preview hours to answer questions, provide condition reports, discuss provenance, and walk you through the registration process. Auction previews are not just for seasoned collectors—they’re one of the best educational tools available to newer buyers.
3
Set your limit before the bidding starts. It’s easy to focus on the hammer price and forget about taxes, shipping, installation costs, and the buyer’s premium. Auctions are competitive by nature, and the adrenaline of live bidding can quickly push collectors past their intended budget. Unlike negotiating privately with a gallery, auctions unfold publicly and move fast; the decision to continue bidding rests entirely with you. Before the sale begins, determine the absolute maximum you’re willing to spend and stick to it. If necessary, you can even ask the auction house to execute bids up to a preset limit on your behalf.
A NUMBER TO KNOW
4-6%
The estimated growth of new jewelry sales in 2025, according to year-end research on the luxury market from Bain & Co., a management consulting giant, and Fondazione Altagamma, the Italian luxury goods manufacturers’ association.
Jewelry’s performance trounced almost all other categories in the still flat-to-declining market for high-end goods last year. Its nearest competitor was eyewear, with an estimated sales uptick of 2–4%. Watches and apparel “remained broadly stable”—meaning they didn’t really grow at all—while leather goods and footwear declined by 5–7% year over year, the firms projected.
Why did jewelry stay so strong amid the wider struggle of luxury goods? Several experts point to a surge in the market price of precious metals. Gold, silver, and platinum futures have all jumped at least 80% since January 1, 2025, as economic anxiety pushed many investors toward the perceived safety of hard assets with enduring value.
Even though investor demand has undoubtedly increased the prices for finished jewelry, some analysts suggest this may have created a virtuous cycle. Basically, a lot of people are okay with paying a little more for a gold bracelet because Wall Street is actively reinforcing that gold will hold or increase its worth over time.
This dynamic hits a wall in the market for new art, whose materials usually have no meaningful resale value of their own (except in the rare case of, say, a solid gold toilet). In troubled times, buying a new painting requires either a powerful belief in the resale prospects of a particular artist’s career trajectory or a complete disregard for financial upside. It’s one more reason that buying pieces directly from galleries or artists is a unique passion—but a long way from a sound investment strategy.
—Tim Schneider / The Gray Market
ASK: ACCESS SOPHISTICATED KNOWLEDGE
Christina ASKed: What does "estimate on request" mean? Why are some estimates listed at auctions and some are not?
Josh Baer for NoReserve: Good question. This is rarely used, except for either exceptional reasons or exceptional works. It basically means the auction house/seller is not bound by the rules of published reserve prices. If a work has a published estimate, the auction house must sell the work with a bid at the low end of the estimate—no ifs, ands, or buts. But with the EOR, they can choose at the last second whether to sell at a given starting bid, effectively creating a secret reserve at that moment.
EOR can also be used to suss out the market in advance. Some very difficult consignors are not willing to sell unless "their" number is reached. In general, this turns off buyers who may feel they are being phished. Often enough, these works get withdrawn from auction just before sale time. In the case of extraordinary trophy works like those in last night’s Christie’s sales, it’s difficult to even estimate an estimate. Auction houses do not want to underestimate the high end of the estimate. Imagine bidding on the Leonardo for $400m hammer if they said $80–$120m hammer…
Have your own question for the NoReserve team? Reply to this email or reach out to us on Instagram, @no.reserve. Readers whose submissions we choose get a special prize—six free months of our paid newsletter, The Baer Faxt.
2 MINUTES WITH…
Last night's blockbuster Pollock sale had us thinking of this 2024 conversation with former Christie’s rainmaker Jussi Pylkkänen for The Baer Faxt Podcast. Here, Pylkkänen reflects on the importance of pace, poise, and professional knowledge for an auctioneer, and tells us about his technique for selling da Vinci’s Salvator Mundi—the most expensive artwork ever purchased at auction—in 2017. Head here (or wherever you get your podcasts) to listen to the full episode.
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