Investors Put Their Trust In Contemporary Art

Jeff Koons' Stainless Steel "Tulips" | Image: Christie's

NEW YORK — Never underestimate the amazing amount of cash swirling around the world in search of a home. This week, close to $1 billion was spent on contemporary art.

At Sotheby’s where 58 works of art brought $375 million on Wednesday evening, the session opened with works by Alexander Calder and Franz Kline.This set the stage for a session characterized by a rage to buy famous names without any preference for any particular kind of art. The character of the work is irrelevant. What matters is the volume of the echo that it has received in the media.

Christie’s followed up on Thursday with a stunning performance. Perhaps emboldened by the remarkable session at Sotheby’s, bidders jumped into the fray with a zest not witnessed since the recession that began in 2008. Sales added up to $412.25 million, the highest auction score ever in contemporary art.  

The most striking record though was achieved with “Tulips,” a stainless steel bunch of brightly colored elements looking like enormous toys. Credited to Jeff Koons, it was executed in “1995-2004.” At $33.68 million, the unique Koons of which other examples were somehow produced, eclipsed the $25.76 million paid at Christie’s London in June 2008 for “Balloon Flower (Magenta)” datable to the years 1995-2000. 

What made the Christie’s sale different from any so far was not just the readiness of bidders to go for virtually anything that came up, but the prolonged competition that involved several contenders over many lots. Perhaps some reasoned that it is better to grab a jokey picture than to keep sinking shares. This gives the buyer a gratifying feeling of cultural enlightenment, as long as the art is taken seriously.

Read more at The New York Times.