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Coin Demand Strong Despite Gold, Silver Downturn

GoldSilver

The commodity price of gold and silver has been drifting south for some time, impacting the price of American Eagle and other bullion coins. Despite this downturn, it does not appear that this has changed the almost unquenchable thirst for these or circulation-strike yet bullion-impacted coins. Prices have been adjusting accordingly, but the demand has not abated. This is important since bullion alongside new U.S. Mint coin issues are the two most likely gateway product areas through which investors may evolve into serious coin collectors as well.

Values may be lower for common-date gold, yet demand for these coins continues unabated. An interesting yet unscientific sidebar: at the time this commentary is being written, there appears from my personal observations to be a significantly low inventory of $10 Coronet Eagle coins available.

Collectible yet reasonably available coins in all denominations remain the focus of most collectors, while the truly scarce to rare coin market continues to froth. Both collectors and investors appear to be the buyers in this market sector. Not all rare coins are setting record prices, but the prices they do realize are attractive.

Another plus for the hobby occurred recently when the Anti-Counterfeiting Educational Foundation, Numismatic Guaranty Company and Professional Numismatists Guild sent a letter to Facebook asking for the social media company to address that Facebook “has become the predominant choice of some fraudsters.” We shall see if a positive response is received.

The overall coin market can at this juncture be termed “excellent.” There is lots of interest and lots of strength in the hobby of kings.