Gold, Silver and the Coin Market…
Ian Russell on Wed, Sep 28, 2011 09:49:04 PM
Over the past week, we have seen massive swings in the price of gold and silver. At GreatCollections, this meant more of our clients wanted to buy whatever physical metals they could get their hands on. Unlike other times when the spot price of gold and silver went down, this time we had almost no sellers at these lower levels.
I am asked regularly what happens to the rare coin market while these wild swings are occurring. Well, so far, I have not seen any weakness in rare coins at all. Our sales on Sunday were much stronger than expected ($195,000 in total auction sales), and this week we’ve already sold some big five-figure coins – modern and classics.
If you plan on accumulating the bullion side of gold or silver, do so over time, and take advantage when there are dips like these.
Another example of the strength in the coin market: many clients know we handle quantities of the Ultra High Relief, in all grades including the sought-after MS-70 PL examples. These coins start at approximately $2,600 each and run to over $8,000. When the price of gold and silver decreased last week, these coins were just as strong in the rare coin market and even went to a new (higher) price level on Monday. To put things in perspective, we sold over $400,000 worth of Ultra High Reliefs in the past two weeks and continue to have a need for more. If you have any for sale, please contact us!