Forbes spins a whole story out of a good auction in the midst of a financial meltdown. Jewelry and diamonds could be a good proxy for gold (which fell through the floor today–so much for that being a safe haven) but will Art and other auctionable items be defensive (as they like to say in the markets), as the story tries to suggest?

Whenever things get rocky elsewhere, like the stock market, we always find jewelry and diamonds do very well,” says Joanna Hardy, head of jewelry at Sotheby’s London. “These investment pieces are something you can put in your pocket, and are more reassuring than assets sitting in stocks.” [ . . . ]

What also makes auctions of interest during difficult times is the sheer flood of items that go
on the block. The economic downturn has been a driving force behind new consignors showing up at auction houses. Hardy says Sotheby’s Dec. 9 jewelry auction has 430 lots, while its last major auction on Sept. 25 had just 130 lots.

“Especially when it comes to jewelry, many people have items sitting in their safety deposit boxes that they don’t need and haven’t worn for years,” says Leslie Hindman, owner of Leslie Hindman Auctioneers. “They are looking in their closets and seeing what they can sell to make some
quick money.”

Why Auctions Thrive In A Bad Economy (Forbes)