Expert decries 'Cabernet bubble'

An expert claims to have identified the new ’Wall Street-like bubble’ affecting investors.

Keith Wallace, a founder of the Wine School of Philadelphia, claimed that Cabernet Sauvignon reds are now as overpriced as shares were in pre-crash 1929 and 2007.

Writing for the Daily Beast, he said that current prices were currently ’exorbitant’ and ’scandalous’ - suggesting that investors looking to move into fine wines as an alternative way of building their assets should tread carefully.

Figures from the Wine Institute show that, in the US, the typical price of a wine list Cabernet is $86 - but that a Pinot Noir goes for just $69, despite this kind of grape being harder to grow and the wine being more expensive to make overall.

Mr Wallace stated: ’All wines should bow to the pressures of basic economics. Quality plus scarcity plus popularity equals the price a wine can fetch.

’The Cabernet bubble is about to burst, and its not going to be pretty … After the smoke settles, I pray you are all cured of your feverish Cabernet mania.’ADNFCR-2318-ID-19270517-ADNFCR