Kuggerand question please

Kip

Why do these 1 oz coins sell cheaper than eagles, leafs etc.
Was there a lot of fakes found in the late 1980's? Is this why or is because it is cheaper for South Africa to produce these?
Thanks
Kip

Regulated

I suspect most people prefer Gold Eagles because they are not subject to reporting like Kruggerrands are.

100proof1957

Stygma of S Africa

Dont forget,they were illegle to possess here for many years

Check Kitco.com

Hyperion

I think they're considered the most common of all bullion, so they go for the least % above melt.

CaptHenway

The main reason is the law of supply and demand. There are millions of KRs out there, which we can buy in over the counter for a few dollars back of spot. However, if I have to buy Eagles from one of the offifcial distributors, I have to pay them 3.75% OVER spot. We do buy some Eagles in over the counter, but not nearly as many as the KRs. Therefore, we price the KRs cheaper to move them out.
As to counterfeits, we've handled thousands of KRs since I started here in 1989, and in that time I have seen exactly one bad KR.
Tom DeLorey
Harlan J. Berk, Ltd.

CoinHusker

<< <i>I think they're considered the most common of all bullion, so they go for the least % above melt. >>




Bullion? I thought they were 0.9170 ?

2bucks

LINK

clevegreg

1.0909 weight troy ounce .916 or 22 karats purity 31.1033 fine gold content grams

CoinHusker

<< <i>1.0909 weight troy ounce .916 or 22 karats purity 31.1033 fine gold content grams >>




But is that considered "bullion"?

CaptHenway

This is why the U.S. Mint is coming out with a .9999 fine gold coin, for people who cannot understand math.

Most of the U.S. gold in Fort Knox is .900 fine, derived from melted down coin gold. Cast into 400 ounce bars, it is most definitely "bullion."

flaminio

<< <i>But is that considered "bullion"? >>

It's the same fineness as American Gold Eagles. I'd say they are bullion.

13PacesEast

But are they coins?

Stork

<< <i>This is why the U.S. Mint is coming out with a .9999 fine gold coin >>

I thought the reason is because the mint smelled a new money making scheme (so to speak ). Alot of the world wants to buy gold 24K, not 22K.

BillJones

<< <i>There are millions of KRs out there, which we can buy in over the counter for a few dollars back of spot. >>



Yea, I learned that when I had a customer who wanted to trade in his K-rands for "real coins" after the price of bullion when way up. The positive thing is there is no dickering. You just show your K-rands and the get going price from the leading bullion dealers.

The coin is attractive and apartite is gone, so why does this discrimination continue?

CoinHusker

<< <i>This is why the U.S. Mint is coming out with a .9999 fine gold coin, for people who cannot understand math.
>>




Thanks for your patience and understanding. Geez. Ask a simple question...

Kip

<< <i>This is why the U.S. Mint is coming out with a .9999 fine gold coin, for people who cannot understand math.

Most of the U.S. gold in Fort Knox is .900 fine, derived from melted down coin gold. Cast into 400 ounce bars, it is most definitely "bullion." >>



I can assure you that I know math and I probably understand it better thn you. A simple question should get a simple and non assinine answer

CoinHusker

<< <i>

<< <i>This is why the U.S. Mint is coming out with a .9999 fine gold coin, for people who cannot understand math.

Most of the U.S. gold in Fort Knox is .900 fine, derived from melted down coin gold. Cast into 400 ounce bars, it is most definitely "bullion." >>



I can assure you that I know math and I probably understand it better thn you. A simple question should get a simple and non assinine answer >>




And I thought he was referring to me and my apparently "dumb" question? Now, 2 people are ticked off.

DaveG

How about this:

Although most non-coin collectors only use the word "bullion" to refer to gold or silver in bar or ingot form, most coin collectors also use the word to describe gold coins (whether minted for circulation or not) that are bought and sold entirely or almost entirely for their metal content, not their numismatic value.

cladking

They were illegal (at least in most circumstances) to own before 1973 but not afterward.

They were illegal to import from about 1981 to about 1991 as the government response to apartheid.