Coin Rarities' Baltimore market report is up...

Longacre

The report is short and sweet. The most interesting comment is how quickly coins that they bought at the ANR auction sold to collectors on the floor. That is incredible. I guess this means the upper tier coins are still hot.

Coin Rarities market report

PerryHall

Also, check out his "Coin Commentary". Very interesting and thought provoking.

morgannut2

It's a misreading to say only "upper tier"--Even C.R. says quality attractive material in all grades was in great demand. People just hear about all the buzz of ultra rare high priced stuff--but it applies to quality circulated collector grades too.

rays

From Coin Rarities' report:


<< <i>We bought coins at the ANR auction for what certainly seemed to us to be be very strong prices and then sold most of them before noon the next day on the bourse floor to multiple vying buyers. >>



And from Legend's Baltimore Market Report:

<< <i>We can't stress enough that the ONLY coins you should buy out of auction are the real rarities, NOT coins you can buy cheaper on the bourse floor. >>




Both scenarios can't be simultaneously correct.

ER

<< <i>The report is short and sweet. The most interesting comment is how quickly coins that they bought at the ANR auction sold to collectors on the floor. That is incredible. I guess this means the upper tier coins are still hot.

Coin Rarities market report >>


I can never understand this. Whoever these "collectors" are, if they were at the show, why didn't they bid in the auction, unless they bought the coins at less than the realized prices?

RYK

I can never understand this. Whoever these "collectors" are, if they were at the show, why didn't they bid in the auction, unless they bought the coins at less than the realized prices?

Add me to the list of those who do not understand it.

A guess there are at least a few possibilities:

Perhaps, some collectors are not as intense as we are here and may not even know about the auctions.

Some collectors may need additional hand-holding, marketing, etc. to make a decision.

Some collectors may not feel comfortable bidding at auction or may not know that they want the coin until they see the coin in person.

Some coins probably need to make it into the "right holder" before the buyer's interest is piqued.

I must confess to knowing and unknowingly purchase coins from dealer's inventories soon or a little bit after an auction. In some of these cases, while the coin was on my list, the picture or description of the coin in the catalog did not strike my fancy, but with additional information from a trusted dealer, the coin became more desirable.

orie

More bragging and/or crowing than usual from dealers since the Baltimore Show. All the money they've made and coins flying out the door makes me suspect! I'm feeling a slippery slope.

Convincing us out here in the hinterlands that the market is strong while reducing their inventory. This probably isn't true, but some dealers are really pumping the hype in the last few days. To much so in my opinion. Are they trying to convience me or themselves.

RYK

Convincing us out here in the hinterlands that the market is strong while reducing their inventory. This probably isn't true, but some dealers are really pumping the hype in the last few days. To much so in my opinion. Are they trying to convience me or themselves.

Yeah, you're probably right. They are listing ficticious coins in their website inventories, with stock photos, and then placing a hold tag next to the coin a few hours later, just to look busy. I am supposed to get one of these phantom coins on Wednesday. The box will probably be empty when I open it. Yeah, sure...

orie

RYK, when I made the slippery slope comment. I thought the sociopath would show up and damn if you didn't.

RYK

earlycoins1com

Some good comments here about buying a coin the day after an auction. I will add a few more reasons:

1. On rare and truly esoteric coins, often people do not know what to pay. A coin sells for, say, $20,000 at an auction. A collector (or dealer) sleeps on it, and decides that it would be worth more to them than that. He/she sees it on the bourse the next day and buys it.

2. A buyer just plain missed it, or got there too late. They track down the buyer and make a deal.

3. Not everyone attends the auctions. Some find it very unproductive (it is my contention that most coins sell for a little more than they are "worth" at an auction; a few sell for alot more; and a few sell for less than someone will pay if he/she sees the coin in person).

4. Hey, people are human, not robots. I have bought many coins over the years the day after an auction. Sometimes I see it again and say to myself -- "Man, that's a better coin than I thought it was when I saw it at lot viewing."

The average auction is 3000 lots or so. Properly evaluating every lot of interest to the nearest 10% of its value (to you) is not an easy or precise exersize.


No one seems to think that it is mysterious that people OVERPAY for many coins at auction. Remember, by definition a successful bidder is willing to pay more than all those other smart people in that room.

Rgds,
Dave W.

Tarmac

I've been to shows and I've read show reports before but this time something just occurred to me.

If these 'collectors' are so well heeled and so smart, why do they need to be marketed to? Hand held? Have the warm fuzzies?

Are these same 'collectors' going to panic at the inevitable slide? WIll these same coins be making up the pretty catalogues from ANR et. al. and selling at a fraction in 2-3yrs or less?

History does repeat itself.

earlycoins1com

Listen -- prices go up, and prices can come down. Anyone who tells you otherwise either hasn't been through a full coin cycle, or is trying to sell you an investment package.


Buy what you like. Don't buy coins as an investment. I can't say it any plainer than that.

Rgds,
Dave W.

oreville

RYK:



<< <i>I can never understand this. Whoever these "collectors" are, if they were at the show, why didn't they bid in the auction, unless they bought the coins at less than the realized prices? >>



RYK:

Keep this in mind:

First:
Many of these auctions were/are conducted days BEFORE the show. Many collectors CANNOT risk losing their full time jobs (jobs as well as money) to save a few thousand dollars. Perhaps once a year but not more.
Unless, they own their businesses and even then, they have their limits!

Second:
Attending such auctions can be less of a cost savings than staying at their jobs and making money.

Third:
Attending auctions and yet keeping their spouses happy? An oxymoron if I ever heard one!

raycyca

Another reason is what has happened to me and others recently. I placed bids on an auction at a certain company. My bid WAS higher than the hammer price. BUT, the auction company did NOT process my bids. I "lost" the lots. If I were to see the coins the next day, I would have bought them for more than they paid. This still would have been less than my max bid. Is this another of the plausible soloutions? Ray

Nic

I can't attend all auctions. If I see a coin later, at a price I understand, I'll buy it. Makes no difference what it sold for.
If I view coins at auction, leave a bid I think will win, and end up losing it for 10% or less ...... I perhaps can still buy the coin. After all it would have cost me, as the next bidder, at least 5-10% more on the floor.
If I view coins at auction, and do not bid on an item that sells for a price I feel is cheap ..... I perhaps can still buy the coin.

There are many reasons auction coins can get sold for more within a few minutes to days. Not a bad thing.

K

DeepCoin

I believe a number of high end collectors use dealers because it is too expensive to make a mistake and for the dollars involved, they hire a professional. The same is true in other businesses. Collectors get into this thing about their grading skills. There is no way a new or even relatively experienced collector can compete with someone who does it all day every day. The high end collector is often working to provide the funds for those 5 and 6 figure coins.

I have not even addressed the anonymity factor. Some well heeled collectors prefer to keep their collection and identity from the public for a variety of reasons, security only being one of them.

You can still love and know coins and have a professional buy them for you. The key is finding someone you trust.

earlycoins1com

Excellent point. I occasionally buy antiques, and I gladly pay an antiques dealer his 5% commission. He/she earns it, steers me away from items I would otherwise bid on that have hidden problems, and often does alot of work for no money at all (i.e. I wasn't the high bidder).

earlycoins1com

Good point Oreville, but who says the lives of collectors (and dealers) are in balance?

Russ

<< <i>We sold expensive coins, affordable coins, pristine gems, low grade examples, early gold, choice type, rare dates, and colonials. Many, many, many colonials. >>



What? No moderns?

You are an excellent writer, BTW.

Russ, NCNE

earlycoins1com

I guess, "Moderns aren't our bag, baby", as Austin Powers might say.

But, I have a secret fondness for high grade business strike Ikes (don't tell anyone).