GOLD prices and GOLD coins.

saintguru · November 19, 2004 12:51AM

Since I am buying very rarely thse days, is anyone seeing a pickup in 20th century gold coin prices that reflect the strength in bullion??

mhammerman · November 19, 2004 1:49AM

It is getting harder to find pieces and the prices are rising conspicuously. Me thinks it is time to look for other coin issues and maybe pick up a stray gold piece off and on when the seller needs to let it go for cheap. If you like the auction route...bend over 'cause the price to play has already risen. We've been discussing this under other threads and there are a lot of opinions as to why but it wouldn't seem like it was gold prices are driving the rise. With the $5's being melted at about $100 and the $10's at $200, the 15% to 20% rise in gold coin prices over a 10% rise in gold prices (in the auctions) doesn't correlate. It may be that the auction houses are advising clients to place higher reserves or it just may be that there are more bidders. Just my thoughts.

saintguru · November 19, 2004 1:53AM

Thanks. It's really kind of moot with what I have because of the rarity factor...but maybe tonite's Superior auction will shed some light.

ttown · November 19, 2004 5:45AM

Well I can't say for your high end stuff. But I was able to buy saints in a PCGS MS62 for around $500 about 3 weeks ago and now if you can get one for $550 your doing good. These were common dates like the 1922. I brought a 1915S for slightly more in that grade but in was ANACS cert.

roadrunner · November 19, 2004 12:44PM

Gold has risen $20 in the past 4-5 weeks. Yet MS64 Saints have gained $80-$100 in that time. You tell me if which of the 2 has performed better?

MS64 saints are the "futures" of the generic gold coin market (i.e. leveraged)

roadrunner

CharlieB · November 20, 2004 3:27AM

I haven't let up on buying. With the increase in AU prices common
$20's are the choice of investors and those who just want to get in
while they still can. I have seen no real change in the price of rare stuff
in libs or Saints. I have resorted lately to throwing low bids on eBay
and am snagging a few.

- Charlie B -

Sequitur · November 20, 2004 4:12AM

The biggest correlation between AU's spot price and gold coins I can discern are the prices for the high-grade PCGS gold bullion coins (e.g. the MS69 $50 coins). Can't say the same for the rarities -- when gold's spot price fell to approximately $390 earlier in the year, the good stuff continued to increase in price.

jpkinla · November 20, 2004 4:25AM

MS65 Saints were changing hands at Santa Clara for $1350! That's up $150 in a couple of weeks!

My $5 Indian Gold Registry Set

Deb048gold · November 20, 2004 1:27PM

Iv'e noticed not only prices up on average 10% on MS64 & 65 Saints but also a real reduction in inventory availability with outlets I deal with. Big Time!

roadrunner · November 20, 2004 1:32PM

10% may not seem like much....but that's only in a few weeks.

roadrunner

GAT · November 20, 2004 3:47PM

If you want to gamble on the price of gold buy AGE's. I have some I purchased on eBay a few years ago for $270 and they are now up in the $470 plus range.

Deb048gold · November 20, 2004 4:08PM

I have Gold Eagles but they are not performing as well as Saints in MS64 & 65. They pretty much move with the spot price of gold whereas Saints you'll get a better "double play".

oreville · November 20, 2004 4:34PM

Went to a flea market today and purchased two type II Libs (1875-S and 1876) in circulated (VF+) for $800 for both.

GAT · November 20, 2004 4:46PM

Deb048gold,..........You also get a double whammie with Saints when the gold price drops! Maybe I should add, buy circulated gold near the melt value.

Elcontador · November 20, 2004 5:09PM

I am NOT a gold guy, but if you want to speculate in the metal, I suggest you buy bullion coins, ie., Maple Leafs, Krugerrands, etc. The spread between buy and sell is minimal. You'll notice that the spread is so small, that sellers will not accept credit cards on these purchases. The movement in these items is 100% related to the movement in the metal.

OTOH, if you're buying grade specific U.S. gold coins, you are buying coins which are affected not only by the price of gold, but you are paying a commission on the coins, just as if you bought, say, a 1/2 cent. I guarantee you that if you go to someone who sells bullion and generic slabbed Saints, he'll push the Saints, because he'll make more $ on the sale. Think about it.

Deb048gold · November 21, 2004 6:55AM

If you want to speculate on the price of gold, I would buy neither bullion or Gold Eagles. Too much of a spread betwenn the bid and offer, plus storage questions depending on how much you buy.

It will a moot point because within 5 years the public will be buying Gold ETF's anyway, such as GLD, which sells for 1/10 oz of the spot price of gold with very small management fee. Commission os minimal, plus instant liquidity with 3-day settlement. Do stock investors hold their stock certificates anymore? Of course not, they're in book entry form. Very simple!

At the spot price of Gold now, and the state of the dollar, I will take my chances with Saints at MS64 & 65 rather than gold eagles or bullion. There is a time to use leverage and a time not to. Unless of course you feel the price of gold is going to go back to $200 oz. in the near future.

roadrunner · November 21, 2004 11:01AM

My local dealer charges about a 4-5% spread on eagles. Saints in 64 might be 7%. I don't consider that to be significant since saints have 2-4x the leverage as a 1 ounce eagle. The leverage on the saint in 64 and 65 can be 2 to 4x the movement in gold. Just remember to take some of the profit off the table when the MS65 saints start to max out.

NGC made a huge amount of crappy 66 Saints in the past year and really hammered the price. But demand for gold at the right time can turn a sow's ear into something in great demand. Laura was right that 66's were going begging at around $1800-1900 and now you can't find them.

6 weeks ago a $20 Lib in MS64 was a tough sell at $1100. Now you can't probably find them at $1300. Short term gold cycles move up and down...but the long term trend is still up.

roadrunner

EJB · November 24, 2004 4:56AM

IF THE WORLD WAS MADE OF GOLD, MEN WOULD KILL EACH OTHER FOR A HANDFULL OF DIRT..

roadrunner · November 24, 2004 6:53AM

Unfortunately, all the gold ever mined can fit into a small sized house. So you don't have to worry about the dirt analogy

No doubt you've watched "Waterworld" where dirt was rarer than
gold.

rr

GOLD prices and GOLD coins.

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