The recent modest gains gold has realized are based on the dollar losing some of its value on the world market, not on speculation, or on supply and demand. Silver is stronger, but it will take a jump higher to end the recent trading range.
The optimism towards how the new President will favor businesses is driving the equities markets at the continuing expense of commodities – including virtually all collectibles. Antique dealers tell me their business is in a recession. Coins are doing better, holding their own, with some notable appreciation for specific rarities. Unfortunately, this is not contagious. Much of this appreciation is from prices being realized at high profile auctions held at major coin conventions rather than through over-the-counter transactions in a more local arena. This appreciation has not spilled over to more commonly encountered collectible coins, which I suspect is what most people reading this column collect.
Coin dealers are looking towards a banner 2017 for truly scarce coins, but little has been said about what is speculated for the value of more common yet popular material. If you are looking to collect coins, this is a great time to buy. If you are looking to invest, or to sell what you own, you will find only the grade or date and mintmark rarities are making it worth your while. Be careful if you treat modern coins certified in Mint State or Proof-70, or coins in autographed or “First Strike” encapsulations as investments. Some may appreciate, but many likely will not.
This article was originally printed in Numismatic News Express. >> Subscribe today
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