Rising Silver Prices and Morgan Dollars

CCNugett

Will silver reach double digit prices again soon?The US dollar sure is looking weak.What effect will higher silver prices have on those rare dated MS coins you are holding?Will more Morgans be melted?These are some thoughts I have been pondering for awhile.

I enjoy collecting coins like most of you do because they are neat and fun to research.However, I am also an investor.Not so much for the short term,but for those that will inherit my coins.

My take on things:
1) Never sell a collectible,unless you must
2)Money market funds are paying 0.85%(not getting my money)
3)CD's paying 2.0%( no deal)
4)Done the Daytrading thing and it is tough.
5)Did the Mini-Dow future thing and it is also tough.
6)Stock Market is a dud and you'll lose your money
7)Real Estate is very expensive,but you can make money at it.

Now for my #1 investment advice----Buy silver bullion and MS Morgan Dollars,all you can stand.The rarer the better.In 10-15 years you will not be able to afford some of the more rare Morgans.We are seeing more and more collectors in the market everyday now.Therre is not enough Morgans to go around in MS.Alot of them are like me,they just put them away in the safety box,never to be available again.

Well what do all you experts think?Am I on target or what?

kieferscoins

I think you have some good advice but are off on a few points.



<< <i>Therre is not enough Morgans to go around in MS >>



I doubt it unless you are talking key dates. There are tons of morgans. Go to any show and you will see how many there really are!



<< <i>Buy silver bullion and MS Morgan Dollars,all you can stand. >>



Selecting quality coins over quantity is the way to go. Buying for investment is risky and buying all you can stand may bring profits but are just as likely to lose money also.

Cameron Kiefer

dragon

<<< Therre is not enough Morgans to go around in MS. >>>

I dunno about that.............. People said that in 1979 and again in 1989, and it still seems there is no shortage of MS Morgans. Mint state Morgan dollars are COMMON coins, VERY common coins, they exist in huge quantities and will still be around in huge quantities 25, 50 and 100 years from now.

I also don't think it's sound investment advice to overlook traditional investments like securities or real estate and concentrate all your funds into collectables or bullion related items.

CCNugett

Cameron,

Thanks for your input.Quality for sure.The price of common date Morgans in MS are still dirt cheap now.I would buy them slabbed and graded by NGC or PCGS.

Now for the silver bullion idea,I have always been taught to respect the wisdom of my elders.This is why I respect Warren Buffet.He's shorted the dollar and purchase millions of ounces of silver.He has taken a beating by shorting the dollar for awhile,but things have turned around in his favor.Let's not forget the deficit.These things have been talked about by Gold and Silver bugs for years ,but it is unfolding at this moment right before our eyes.

CramptonMotorsports

warren buffett has also purchased millions of foreign currencies, which currencies aren't known.

I have stepped out on a limb and purchased what I could afford of a certain countries currency and it's now a waiting game.

Silver I have a feeling will spike soon, and alot of circulated and junk morgan's will be melted, but the MS and rare grader's will be held closely by those who know better.

Gold is going to be the leader in this trend, silver will follow the gold spike.

still just a what if...

CCNugett

Dragon,

I'm not saying to put all your eggs in one basket.But, therre is really no where to put your money at this time.Sure you can buy a tax free Muni-Bond and get maybe 6% and then there is always a chance things could go bad with that.Look at San Diego(Bankrupt).

I still say common date MS Morgans are dirt cheap and in 10 years you will double your money.That 10% on your investment.You just can't find that rate today and it will be years before you can get 10% at a bank or CD. If you had a million dollars today,it would worthless.You couldn't make a dime of interest on it,without taking a heck of a risk.
You sure couldn't retire on it.How would you make any interest to live on.You would just have to spent it and leave nothing for anyone else.

CCNugett

Hey Dragon,

Thanks for the input.I'm not picking on you,but Iwould like to give you an example of why I think Morgans are a good investment at this time and for a long time to come.Look at the Indian Head Quarter Eagle.It was worth 2 1/2 dollars in 1913.Today it is worth $160.00 in AU condtion and that's unslabbed.Not even a hundrred years later and still going up in price.Not only is it a collectible,but look at all the other factors that caused it to increase in value.There is more going on out there than just numismatic value.Granted The Quarter Eagles are a low mintage series,but they are also out of the reach for the newby coin collector.Morgan Dollars are not at these price ranges.I feel confident that your common Morgans will be in a $50-$75 dollar range in no more than 10 year period.

sliderider

I don't think rising silver will have any affect on the high end because the prices there aren't determined by the going rate of silver. The very low end of the market WILL be affected because the silver value will exceed the collectible value and a lot of low grade or damaged silver coins, not just dollars, will likely find their way into the melting pots.

Deb048gold

Good topic for discussion!

I agree that Silver prices will go through the roof. I think we will start to see a big move toward the end of this year and into the first quarter.

My own philsophy, and I'm not alone on this is that if you believe that the price of Silver is going to go up and you want to take advantage of it, then BUY SILVER BULLION. I wouldn't buy Morgans speculating on the rise of Silver unless you are willing to dump them. Silver prices are based on supply and demand and not the value of the dollar although Gold and Silver will move together. Silver is much more volatile and you could see prices 5 to 10 times greater than today in a hurry.

Before the end of this year you are going to see Silver and Gold ETF's (Exchange Traded Funds), not mining, but strictly Silver and Gold reserves. You are right Buffet holds the largest Silver hoard in history, which he purchased in 1998. I don't think he has or is going to sell until we see the whole thing play out.

In the meantime if you can afford to buy the 500 coin Silver Box from the Treasury (about 4K) (shop around)
that's a good hedge or an ETF in a couple months. But hoarding Morgan's. That's a different deal altogether!