Why $361 Million for 11 Artworks Is a Disappointment

It’s been a roller coaster ride of an auction “gigaweek” in New York, as Christie’s and Sotheby’s scrambled to scale back expectations in a subdued market, with mixed results. As the dust and dollars settle, though, there’s cause to be reasonably optimistic: “Overall it’s obviously a very sobering week,” said Patrick Legant, a London-based art adviser who was in New York for the sales. “It’s also reassuring, though, because you still had bidders out there, and a lot of people who are still interested in buying art. It’s just that they’re a bit more selective.”

And that might be the key. As auction houses try to phase out costly guarantees (in which the house or a third party guarantees a consignor in advance that an artwork will sell for a minimum amount), anecdotal evidence implies that rather than risk an artwork selling for a subpar price, or—more disastrously—not at all, people are turning to dealers to sell their works.