Excerpt from Numismedia article on $3 gold and the hot market
Longacre
Posts: 16,717 ✭✭✭
Below is an excerpt from a Numismedia article on the state of the coin market. I personally don't collect $3 gold, but I've heard that the prices have been going up like crazy. Is this price increase just a function of supply and demand, or are we in the midst of another "well managed promotion"?
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The U.S. Gold market is on quite a ride. The demand for most gold coins is strong but there are certain areas that are so hot the demand has soaked up nearly all the supply. The most active series is $3 Gold where the FMV has been sky-rocketing for several months now. It is to the point that we are not seeing anybody advertise any coins for sale because when they do happen to walk in the door of the coin shop, the dealer knows right where to go to realize the highest price. Dealers are falling all over themselves trying to be the highest buyer when coins are made available. This is one of those phenomenal events that comes along once in a blue moon. The seller can just about name their own price because of the extremely short supply. As all good things, this has to come to an end. Or, does it?
Not only are the $3s strong, but the Early $5s and $10s remain very active and competitive. Dealers and collectors are looking for nice original coins that have not been cleaned and have clean surfaces. There are numerous standing orders for many of these issues in Very Fine to High Mint State grades. Furthermore, the higher FMV prices are not producing substantial new supplies onto the marketplace.
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The U.S. Gold market is on quite a ride. The demand for most gold coins is strong but there are certain areas that are so hot the demand has soaked up nearly all the supply. The most active series is $3 Gold where the FMV has been sky-rocketing for several months now. It is to the point that we are not seeing anybody advertise any coins for sale because when they do happen to walk in the door of the coin shop, the dealer knows right where to go to realize the highest price. Dealers are falling all over themselves trying to be the highest buyer when coins are made available. This is one of those phenomenal events that comes along once in a blue moon. The seller can just about name their own price because of the extremely short supply. As all good things, this has to come to an end. Or, does it?
Not only are the $3s strong, but the Early $5s and $10s remain very active and competitive. Dealers and collectors are looking for nice original coins that have not been cleaned and have clean surfaces. There are numerous standing orders for many of these issues in Very Fine to High Mint State grades. Furthermore, the higher FMV prices are not producing substantial new supplies onto the marketplace.
Always took candy from strangers
Didn't wanna get me no trade
Never want to be like papa
Working for the boss every night and day
--"Happy", by the Rolling Stones (1972)
Didn't wanna get me no trade
Never want to be like papa
Working for the boss every night and day
--"Happy", by the Rolling Stones (1972)
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Comments
Edited to add coin date.
definition of your market you can continue to say that the market is "hot" long after most of the market has turned cold. This is what seems to be happening to the coin market right now. The "nice" coins are still doing well, but the "not nice" coins...
yes for common darte ms 64 and 65 type threes like the 1878!!!!!!!!!!!!! 1874 1854 look at the pops for the 1878 quite large!!!!!!
well for ms 64 and 65 in the more available dates in the three dollar gold series there has been a promotion by a handful of dealers since jan 2005
not as good or bad thing just the way it is with the coin game
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Is this price increase just a function of supply and demand,????????????????
well there is basically no supply for
better dates with superb eye appeal and extra special qualities in the xf to choice au range
the price increases have come all at once to play catch up to the current rarity and desirability of these coins and are still undervalued sleeper for most all dates
but with little to no supply you cant have demand so this is why they are so undervalued sleeper coins
you do not have to collect a whole set if you do not want to/or cant afford to
you do not have to collect only gem coins
YOU CAN maybe buy a nice choice xf to choice au three maybe one from each decade say an 1854 that is a one year type coin and the first of the series! and maybe a cool really scarce historical civil war date 1864 !!!!!and then a scarce but a little more available coin from the later 1870's maybe a good lloking choice slider au 1878? then from the 1880's get a sexy low mintage choice au proof like under 1000 mintage 1883??
waht a great set to have and value priced historical and some dates not easily located and even the so called common value priced dates in the xf to choice au range are even hard to find with way above average eye appeal but they are out there with some looking!!
or you can just buy one coin of any date and have a great type coin and choose one that has wayu above average eye appeal!!
or a complete type set of threee dollar gold the 1854 which is a different distinct type of the rest of the series because of the size of the word dollarts on the reverse and then another date from 1855 to 1889
a cool two coin type set
or you might just get a civil war date set 1861-65 waht a neat scarce historical set!!
or maybe a set of all the different mints a p o s d mint three dollar gold cool!
or you might just get some scarcer lower mintaqge histroical or just plain sexy date coins with a SPECIAL LOOK
say for example a cool low mintage really scarce 1864 that is choice xf but with such a thick greenish gold red skin never dipped and with incredible eye appeal or a really rare less than 125 known with a couple of uncs known 1858 choice au three dollar gold maybe one of the sexy lower mintage dates in the 1880's?? a strongly prooflike 1883 that has a mintage of less than 901 biz strikes?? and there was some melting so maybe a few hundred survive?? or the rare 1877 ??
the possibilities are endless and you got a truly in demand scarce coin coins!!