How low would gold have to drop for you to rethink your rare coin strategy?

MrEureka · March 2, 2007 2:28AM

I'm thinking that I'll start getting a little nervous at $450.

fcloud · March 2, 2007 2:29AM

$357 is my buy range.

MajorDuty · March 2, 2007 2:30AM

Gold has zer0 affect on my rare coin strategy. Same for silver for that matter.

Longacre · March 2, 2007 2:31AM

I think I am being a little unrealistic, but it would have to drop below $500 before I put in a massive buy order.

tradedollarnut · March 2, 2007 2:32AM

<< Gold has zer0 affect on my rare coin strategy. Same for silver for that matter. >>

saintguru · March 2, 2007 2:34AM

percyb · March 2, 2007 2:36AM

I'm a buyer of gold under $400...and a buyer of silver under 7.

tradedollarnut · March 2, 2007 2:37AM

Tho if gold dropped like a rock I might eventually buy some.

Bear · March 2, 2007 2:37AM

The big boys holding options on precious metals

are dumping as the price weakens. This should not last

much longer. The Various Federal Reserve funds may also

be playing their little games. Taint gonna work this time for long.

mirabela · March 2, 2007 2:41AM

It doesn't have much to do with mine, to be honest. Sure, if gold falls through the floor then most numismatic material might somewhat follow, but it might be a relief to me, to be honest, now that I have a collection I mostly really like, not to be constantly tempted to sell things just because I can make money on them. If suddenly I were totally buried in my collection, I think that would substantially improve the odds that I will still have it as a personal treasure later on in my life. That might not actually be so bad a thing.

I don't know if that answers your question ... translation: a freefall in gold might actually get me to keep my coins.

CoinHusker · March 2, 2007 2:46AM

Buy in? I don't know, I'm pretty happy I sold off my common date modern gold commems at $666 2 weeks ago.

saintguru · March 2, 2007 2:50AM

<< I'm a buyer of gold under $400...and a buyer of silver under 7. >>

In otherwords, you're not interested in owning either?

RedTiger · March 2, 2007 2:50AM

<< I think I am being a little unrealistic, but it would have to drop below $500 before I put in a massive buy order. >>

I agree with Longacre. It would have little effect on my coin collection, but I would start "loading the boat" with gold related stocks or mutual funds at the $500 level on spot gold.

guitarwes · March 2, 2007 2:51AM

No offense, but I don't think your qestion makes sense. Unless I'm misinterpeting it.

I thought "rare coins" and "bullion" are different.

Thus, your question treats rare coins and bullion one in the same. i.e If bullion golds goes up, rare coins go up and vice-versa.

fastrudy · March 2, 2007 3:10AM

Gold 640
Silver 12.82
Plat 1196

Cladiator · March 2, 2007 3:13AM

My half dimes will be worth the same they are now if silver went to 10¢ an ounce or $100 an ounce.

notwilight · March 2, 2007 3:16AM

<< No offense, but I don't think your qestion makes sense. Unless I'm misinterpeting it. I thought "rare coins" and "bullion" are different. Thus, your question treats rare coins and bullion one in the same. i.e If bullion golds goes up, rare coins go up and vice-versa. >>

There is a loose coupling. the rarer the coin, the looser the coupling.

CarlWohlforth · March 2, 2007 3:16AM

I'd start buying generic gold coins at under $500. I'd back up the truck at under $300. Otherwise I'd wait and see how the price of gold is moving various parts of the coin market before I decide to do anything.

ricko · March 2, 2007 3:17AM

Rare coin strategy and bullion prices have little, if anything, in common. Cheers, RickO

Elcontador · March 2, 2007 5:25AM

Gold is irrelevant to all aspects of my life, except two teeth.

Bochiman · March 2, 2007 5:31AM

I don't see gold having any affect on my rare coin strategy, unless it drops so low that I decide to start buying gold coins numismatically.

MrEureka · March 2, 2007 5:52AM

The price of gold clearly influences my decisions as a dealer because I know that many coin buyers run for cover when the metals are weakening.

As a collector, I couldn't care less. That's because I collect things that are so rare that I don't have the luxury of choosing when to buy. If the coin becomes available, I simply buy it.

saintguru · March 2, 2007 6:05AM

<< The price of gold clearly influences my decisions as a dealer because I know that many coin buyers run for cover when the metals are weakening. >>

That's when the smart dealer would be there to buy the coins from their running customers. RIGHT?

MrEureka · March 2, 2007 6:11AM

That's when the smart dealer would be there to buy the coins from their running customers. RIGHT?

The smart dealer will always buy at some price, especially from his customers. But when the customers are running away from the market, it is way premature for a dealer to increase long term inventory levels.

Regardless, I'm not predicting anything like that at present. And like I said in the OP, gold would have to lose another couple hundred dollars or so before I got really nervous.

TahoeDale · March 2, 2007 6:12AM

I would think that most collectors who have established rare coin sets or high end type, will not be seriously affected by continued downs and ups in the price of gold.

However, when there is a continous demand for generic gold, by both dealers and collectors/investors, it seems that both are more optimistic, and prices in all areas rise.

In uncertain times, dealers back off buying, and their purchasers slow down their accumulation. Without the dealers being willing to add coins(not just gold) to their inventories, the entire market can go into a pause.

I observed this to some extent at Long Beach. There were 3 complete Pan Pac sets for sale, in dealer cases. All high grade, and desirable. When each dealer obtained their(or their client's) set, I'm sure they were excited.

Prices will need to be adjusted, if the exuberance of the last several years has finally come down to normal activity.

bidask · March 2, 2007 6:28AM

I have never really paid attention to the price of precious metals relative to rare coin buying.

But hey, if dealers slow down their buying and other collectors sell their rare coin holdings into a weak precious metals market.....its OK with me.

bidask · March 2, 2007 6:30AM

<< That's when the smart dealer would be there to buy the coins from their running customers. RIGHT?

The smart dealer will always buy at some price, especially from his customers. But when the customers are running away from the market, it is way premature for a dealer to increase long term inventory levels.

Regardless, I'm not predicting anything like that at present. And like I said in the OP, gold would have to lose another couple hundred dollars or so before I got really nervous. >>

Mr. Eureka, when you as a dealer get nervous, take out your checkbook and start BUYING. Seriously.

carl · March 2, 2007 6:35AM

I wouldn't even worry about it since the only Gold I have was bought when Gold was $35 an ounce way, way back.

How low would gold have to drop for you to rethink your rare coin strategy?

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