Used Rolex Prices Seen Benefiting From Rate Cuts: Subdial Index
- Luxury watch prices fell in lockstep as interest rates rose
- Subdial expects possible market recovery if rates fall
Demand for pricey used watches from the top Swiss brands soared during the pandemic as housebound consumers, flush with cash, snapped up fancy timepieces online.
Photographer: Kiyoshi Ota/BloombergThis article is for subscribers only.
Prices for second-hand luxury watches from brands including Rolex, Patek Philippe and Audemars Piguet tumbled as the US Federal Reserve raised interest rates to cool soaring inflation, the Bloomberg Subdial Watch Index shows.
Now there’s reason for optimism that pressure may ease. The US central bank signaled Wednesday that its steepest round of hikes in a generation has likely come to an end. Lending costs could begin to decline next year with rate cuts expected, according to Fed Chairman Jerome Powell.