Will high bullion costs affect new bullion issues enough to create some new keys in Modern Bullion?
jmski52
Posts: 22,985 ✭✭✭✭✭
It sure did in 2008. Our discussions with Eric Jordan in the Precious Metals Forum back then was very helpful in identifying some of those opportunities.
Q: Are You Printing Money? Bernanke: Not Literally
I knew it would happen.
I knew it would happen.
3
Comments
Only until the U.S. Mint prices the following year’s coins. Then, those are likely to be the new keys. And, so on.
Wondercoin
Resale surges aren’t always the same thing as sustained collector demand from collectors. The “got to have it” initial consumption isn’t a market. It’s the 2nd and 3rd buyer that dictates that. The keys from 2008 seem to be more novelty based than mintage. The fractional buffaloes for instance are more sought after for their uniqueness than their absolute mintages.
I say all this as most people collect bullion based issues by weight more than date and their price precludes most set collectors that would compete for them via dates. If looking for keys, I think the subject matter and uniqueness is much more relevant than mintage
11.5$ Southern Dollars, The little “Big Easy” set
It is possible.
In the long term not likely. United States and Canadian Mint pricing already is well above melt and with their pricing structure accounting for that, demand is already tempered. Bullion is most often collected for the bullion content and not the mintage,
Is a "key" that no one wants really a "key"?
Taking a break..............
Investors in bullion stack bullion pieces. They don’t necessarily care about the collector better date thing unless pick one off at auc then flip for $$ profit like I did on a Britannia mule (huge profit). Their goal stock pile x number oz gold & silver. Many are on a tight budget seeking material close to melt. The Mexico bullion pieces are very popular. So are USA. I bought a really nice PCGS 69, $50 AGB at a show recently. A really fantastic coin. Many buying the King Charles 1 oz silver Britannia - Ronnie gave his gf one for her birthday a slabbed MS69 he picked up off the bay for $43. She was very delighted. I have been buying some nice (cherry picked) slabbed USA $20 DE fairly close to melt. It all ads up.
Low mintage is the factor in Bullion Key coin creation.
only non American Eagles and Buffalos. Big boys will keep quantities of those available in slabs.
Repetition of ignorance is ignorance raised to the power two.
There are already many lower mintages where any new lowest mintage isn't likely to make much practical difference. Key date doesn't have much relevance in a series when a noticeable proportion is supposedly key. It also has less relevance when in some cases, most of the buyers are buying it for its key date status as an "investment" and not a collectible.
I don't collect this coinage and didn't read the mega-thread but I did buy Jordan's books, two of them last year. From my review, most of those coins haven't done well but lost value, though both were published awhile back, and the price might have risen first.