Prices for Bordeaux first-growths including Chateau Lafite and Margaux held stable at Sotheby's first wine sale this year in London, with right-bank producers Petrus and Cheval Blanc accounting for seven of the top 10 lots.
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``I think it's indicative of the market at the moment,'' said Stephen Mould, senior director of Sotheby's international wine department. ``Prices have probably flattened out a bit.''
Wine is a luxury good and as people become more concerned with their own financial health, discretionary spending on luxuries is cut back. In short, this could lead to "interesting times" for California producers who will be subjected to high fuel costs, increased labor costs, and a weakening economy. Even more, could this lead to a drop in the prices for the soon-to-be-released 2005 Bordeaux. In effect, did the Bordelais decide to cash in too late?
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