Time to sell PCGS and NGC slabbed gold Saints?
northcoin
Posts: 4,987 ✭✭✭✭✭
Got a call this morning from a dealer I had purchased coins from in the past. Interested in buying. His take is that the current spike in gold prices will fizzle out by Christmas and now is the time to "take one's profits" and sell one's gold coins. Most of what I have that I might consider liquidating are better date PCGS and NGC slabbed Saints in 62 to 64 grade. I can understand the logic for getting rid of bullion, but I suspect he is more interested in paying closer to bullion prices for these coins and I'm curious if there has been a proportionate increase in value for the better dates or if that will lag the current bullion increases? (not rarities, just "better dates")
0
Comments
I just sold a MS65 1914-s and had to be content with a $50-$75 premium to common date. In time, those kinds of coins will certainly bring no more than a $10-$25 premium to common, if that. 1910 Saints in grades up to MS64...basically no premium imo. Better dates are seriously lagging and will continue to lose premium as gold goes up...count on it. SG's super rare gem saints are a possible exception. But 11-D's and the like will eventually all be common dates.
As far as selling your slabs, I'm sure your dealer wants "his cut" now before things fall back and you don't want to sell. Of course things will fall back at some time. But if you knew those saints were going to go up another 50% would you sell? Are you going to buy back in after a 10-15% fall in price? If not, why sell at all? If your dealer is getting more than 2-1/2%-3% from you, it's too much.
The market will probably test $850-$900 before falling back noticeably. I have the same stake as you do and I feel a run to $900 is very realistic. If gold falls back $25 one day, and you overstayed your welcome. You can pick up the phone and sell those saints for $25-$50 less the next day. Not a big deal.
roadrunner
I would bet the prices go up substantially before they come back down. Apparently your dealer
buddy thinks so too!!
<< <i>From what I've seen, it's time to BUY, 65's at least. There is almost no premium over 64's.
I would bet the prices go up substantially before they come back down. Apparently your dealer
buddy thinks so too!! >>
It is tough to be a buyer in a rising market, especially for better date gold that appears to have less upside potential based on recent valuations. I guess one could argue though that the 65's are more fairly priced than the generics so if the market falls there is less downside risk.
Even if the 65 saints appear to be undervalued to the 64's, the premium over the 64's has been steadily shrinking with each $15 gold goes up. That leads me to believe that we might not see 65 saints earn back the 66% premium they used to enjoy over the 64's. Currently the premium is a paltry 28%. A circ wheat penny carries a bigger premium to melt than a gem saint.
roadrunner
Now it's a home loan.
But today is still THE BEST TIME.
<< <i> I can understand the logic for getting rid of bullion >>
I can't. But I can see the logic for selling saints.
Sell em, buy identical quantity of bullion, wait for dollar to collapse, spend the balance on ice cream.