Gold Buffalos an International BUST

KoinDawg

According to August 21 CoinWorld article, demand for the American Buffalo gold bullion coin is almost nonexistent in Europe and the Far East. The bulk of sales of bullion gold buffalos have been for resale to North American market.

Representatives of domestic authorized purchasers are recommending that the mint NOT introduce fractional versions of the gold buffalo. Sales of the gold buffalos have hurt the sales of fractional gold eagles.

ebaytrader

Knowing the Mint, they'll discontinue the gold eagles in favor of a full line of buffaloes.

Hyperion

who cares how they're selling internationally???

if there's any bit of a premium on the buff, why buy it for investment ?
it's a curiosity for now domestically, hence slightly elevated prices ? pure gold coins of all types will find a way to the market.

then again, if you're buying bulk to bury in your back yard, you want the minimum over spot.

ziggy29

Well, if the Euro market is looking for *bullion*, why would they buy something with a 15% premium over melt value (or whatever it is) when you can get other bullion coins much closer to melt value?

robertpr

<< <i>Well, if the Euro market is looking for *bullion*, why would they buy something with a 15% premium over melt value (or whatever it is) when you can get other bullion coins much closer to melt value? >>



zactly

BigE2

Seems like any time a new bullion coin enters the marketplace, it takes a while before it accepted and widely traded. Especially if metals were at a high point at the time of release. It takes a while for that premium to be cut down to attractive levels.

dlimb2

Would be nice if the Buffy was a one time deal!

Conder101

Are the Unc buffalos actually trading at a 15% premium over spot? Why?

Longacre

These should be selling for a fraction above bullion price. If not, then they will only be seen as an item for collectors.

richardshipp

I read somewhere that the problem with the Buff Unc in the foreign markets was two-fold:

First off: it was not marketed well or at all

Secondly: the packaging is NOT what bullion hoarders will accept. Since congress in its wisdom mandated that each coin be enclosed seperately due to the coin being pure gold. The uncs come in sheets which are bulky. Bullion folks like (for coins) rolls. If the mint addressed the packaging and went with say a square roll, the foreign markets would likely pick up.

Personally, I hope they cancel future production..

JrGMan2004

<< <i>who cares how they're selling internationally???

if there's any bit of a premium on the buff, why buy it for investment ?
it's a curiosity for now domestically, hence slightly elevated prices ? pure gold coins of all types will find a way to the market.

then again, if you're buying bulk to bury in your back yard, you want the minimum over spot. >>

Because the reasoning behind bringing out the .9999 buffalos, was to compete on the international market with the Maple Leaf, Pandas, and other .9999 fine gold coins on the market...

MacCrimmon

<< <i>Are the Unc buffalos actually trading at a 15% premium over spot? Why? >>



No!! APMEX is now quoting at 4.5% over spot ASK for a 20 oz. or more order.

AgMe

The UNC versions will be at spot + some margin after a while... no matter what plp say, they're just plain bullion. Stick them in rolls & forget about them.