By Richard Giedroyc
We might all like to think the value of collectible coins is immune to outside influences. These outside influences include the stock market, international exchange rates, and the bullion spot price of precious metal. When the collectible coin market heats up this becomes especially true for the scarce to rare coin segment of coin collecting, with many other generally more available coins appreciating as well. In recent years all collectible hobbies, including coins, have become less popular and for that reason these outside influences have been making a noticeable impact on these interests.
These economic outside influences are not always negative. Now the stock market is facing a possible economic downturn, sparking fear. (The Numismatic Stock Index composite has risen from 713.14 in December to 781.64 on Aug.10.) For that reason investors are increasingly looking to place recent stock market gains elsewhere. Rare coins become an attractive possible alternative. The spot price of gold has increased more than 17% so far this year. Silver prices increased by six percent during July. These factors are prompting buyers to seek the physical metal including in the form of bullion and bullion impacted coins. Coin collecting is back on the upswing. Prices on such meat and potatoes series such as Morgan silver dollars, Buffalo nickels, and recently released mint products are still surprisingly sluggish, but the increasing interest in coins appears to have returned.