May was a quiet month for the fine wine market, although volumes remained reasonable, according to The Wine Investment Fund.

The main indices fell by 0.3 per cent on the Liv-ex Fine Wine 100 index and dropped to a flat 0.0 per cent on the Liv-ex Investables index.

The flat market came about despite a 3 per cent strengthening in the Chinese renminbi against sterling, which should have boosted prices. This was, however, counterbalanced by a slight weakening of the Japanese yen.

TWIF said that Mouton Rothschild was the strongest of the first growths, with price increases of around 1.5 per cent on average across vintages. Margaux also rose slightly and Lafite was broadly flat, while Haut Brion and Latour fell by approximately 1 per cent. The "Right Bank" area of the Garonne Cheval Blanc also continued its strong start to 2013.  Pétrus rose in value in post-1999 vintages, but fell for more mature years. The younger/older distinction was broadly reflected across most châteaux, although stronger vintages also outperformed lesser ones, TWIF said.

One Hong Kong auction showed high prices across a range of wines. The prices were as much as double the UK market price, with Pichon Lalande faring noticeably well. Outside Hong Kong results were broadly in line with expectations, TWIF said.

Meanwhile, economic news around the world was mixed. The key factors of the economy of Japan saw a surge, with growth rising to 3.5 per cent annualised, benefitting from the effects of the expansionist policy over the last six months. The large potential market of India slowed slightly, but still grew at 4.8 per cent annualised. With France returning to recession, several other countries recorded negative growth, and even Germany only managed minimal positive figures. 

The Wine Investment Fund, which was launched in 2003, is represented in London, Bermuda, Hong Kong and Zurich. Its founding directors are Andrew della Casa and Rodney Birrell, while stock picking and analysis is undertaken by investment managers William Grey and Chris Smith.