Bullion Production Continues Upward Trend

The temperature of the market for coins is always challenging to take, but in one word the market continues to be “hot.” The June 30 through July 2 Long Beach (California) Expo is once more demonstrating just how energetic this market truly is. Held three times each year, it attracts more than 10,000 collectors and dealers. Coin shows continue to thrive no matter if they are small local events or something as big as the LBE. Yes, there are other hobbies that attract even more enthusiasts, but the staying power of coins has a long track record.

The bullion coin market continues to thrive despite a lack of measurable appreciation in the spot price of gold and silver recently. As an example, in 2019 the U.S. Mint’s annual report indicated that 37.3 percent of the Mint’s revenue by line of business was in bullion. This increased to 58.2 percent in 2020. This trend has not slowed, with coin dealers continuing to scramble to fill orders.

Intrinsically valued circulation strike coin prices remain steady, with better grade circulation strike coins continuing to perform well, especially when certified to be in these grades. One word of caution: The price asked for coins graded by different services can vary likely much more than they should.

Even the usually quiet mint and proof set market has drawn more attention than usual, although recently released, made-for-collector (non-circulating legal tender commemorative) coin products fresh from the Mint continue to outperform them. The scarce to rare coin market segment speaks for itself as, due to prices realized at auction, some of these coins have made headlines in general public media outlets, in turn encouraging more people to consider coin collecting or investing.