Pre-1933 Gold Coin Question

erwindoc

How much of an effect does the price of gold play into higher grade MS gold coins, say MS64 or better?

s4ny

The price of gold has no effect on an MS64 1927-D Saint, valued at $1,500,000

The price of gold is around 70% of the value of an MS64 1927 Saint.

The D mintmark makes that MS64 coin almost 1000 times more valuable.

VanHalen

Generic gold, even in 64, is directly impacted by spot. As s4ny noted the dates/series are critical and $1, $2.5, $3 gold pieces are a different animal too.

erwindoc

What about higher grades? MS66, for example.

Goldbully

Originally posted by: erwindoc

What about higher grades? MS66, for example.

Not much in my opinion. The higher the grade, the less the effect of spot pricing, namely more than 65+.



J.J. Teaparty has a very nice market for generic Saints graded MS60 to MS65......largely based on spot.



If the coins have spots, they deduct some determined %.



Also, PCGS graded get a bit of a bump.

Boosibri

Depends on the coin and the degree of numismatic premium.

topstuf

Originally posted by: VanHalen

Generic gold, even in 64, is directly impacted by spot. As s4ny noted the dates/series are critical and $1, $2.5, $3 gold pieces are a different animal too.

Listen to this guy.

He knows the score.



I get a daily update on slabbed gold and it is DIRECTLY influenced by the spot price.

Up to 64, QUITE directly. More so the higher the denomination.

But he said that, too.



64 Saints are what I buy in quantity when I get the urge.

BryceM

I spotted a spotted coin and bought it just above spot because of the spots.



Gotta love English.

roadrunner

At current levels even a generic MS66 Saint gets 62% of its value from spot gold. A generic MS67 of the most common dates would get around 25% of its value from gold.



The premiums can vary wildly based on how the price of gold fluctuates and the supply of generics. Note that in November 2009 at $1225/oz gold an MS64 Saint was carrying an 80% premium to the gold price. Over the past several years the premium has shrunk to the 15-25% level. Put a CAC sticker on a MS65/66 Saint and that an bring another 15-40% premium.

Overdate

Originally posted by: BryceM
I spotted a spotted coin and bought it just above spot because of the spots.

Gotta love English.

Did you put it in the proper spot in your album and name it Spot?

TopographicOceans

When gold rises, gold coins rise in value as well.
When gold falls, gold coins don't fall as far.

roadrunner

Originally posted by: TopographicOceans

When gold rises, gold coins rise in value as well.

When gold falls, gold coins don't fall as far.

Actually, sometimes the price of the generics in MS62-MS64 falls even more than they should if based solely on the gold price change. This is due to how liquid the big gold buyers are during a gold price correction. If they aren't buying, the prices of the generics can topple much further than normally expected. That's typically the MS62-MS64 Saints though.



As long as generics keep coming in from overseas, it's really no different than if the US Mint were still making $20 Saints. The generic market is the slabbed market. So fresh raw hoards from overseas that get slabbed = increasing generic supplies.

topstuf

I buy more collector gold when the price of gold rises.



My crazy logic says that when I pay $2600 for a gold collectible coin and gold is $1300, I am buying it at only "2x face."



So I justify my idiocy.



Go figger.

WinLoseWin

Originally posted by: BryceM



I spotted a spotted coin and bought it just above spot because of the spots.



Gotta love English.

Spot on!