Gold spiked past the $372 an ounce mark on Monday [January 27], hitting the highest point since December of 1996. The 34% rise in the price of the precious metal over the past year continues to spur the rare coin market to even greater heights, with unprecedented interest (and prices) being shown on 20th century issues and modern coins.
The strength of the rare coin market is attributable to many factors, with the incredible popularity of the PCGS Set Registry being among the principal reasons for the growth. Numismatic-oriented programs from the U.S. government, a weak dollar and a poorly-performing stock market are also looked at as influential positives for coins. In the final analysis, though, it's the huge and rapidly-expanding collector base that is having the greatest effect.
"We are absolutely swamped," says Kathleen Duncan of Pinnacle Rarities, Inc., in Lakewood Washington. "Even so, most of the focus is on 20th century issues and gold, while there are still some great deals in other areas of the market. Customers with MS63 $20 Liberty gold pieces in their portfolio are showing $200 per coin profits in one year. Those customers are very happy."
Commemoratives, better date Peace dollars still bargains.
Great deals in other areas of the market? Tell us about it, Kathleen. "Everyone knows that 20th century coins are on fire. We can't even keep them in stock. At the same time, 19th century coins, while getting stronger, are still at bargain levels. People might think that they've missed the boat with this market, when, in reality, it's just beginning in many areas."
What other series are cheap? "Commemoratives! I'm not talking about the rainbow-toned monster coins that always bring big money, just the Gem-quality pieces that are white or original-brilliant. Another great buy is better date Peace dollars," Ms. Duncan said.
Toned Morgan dollars highlight "Signature" sale.
"There are some spectacularly-toned Morgan dollars in the upcoming Long Beach sale," says Sam Foose of Heritage Numismatic Auctions. "There's a truly amazing array of common and semi-common dates with sensational color." These coins are but a few of the highlights of the "Signature" sale.
"Prices have been extremely strong for quality gold coins and PCGS Set Registry items," Foose continued. "Anything of high quality and low population has equated to record or near-record prices."
The reason for the success? "The great market, of course, but also it's due to the Internet. We had over 5,000 registered bidders for the F.U.N. auctions and many of those were new entries into the coin market. It was only a couple of years ago that 1,000 bidders was considered to be a huge number."
Kingswood, Bowers & Merena schedule sales.
The Kingswood Coin Auctions "Meredith" Sale is now on the docket. Coins will be available for viewing at the Long Beach Coin & Collectibles Exposition at the end of February with the sale taking place on March 6.
March 13-15 are the dates for the five-session sale of the Craig Smith and George William Youngman collection by Bowers & Merena Galleries. "I don't know how many lots there are in the sale, but we're up to our ears in great coins," says Pam Roberts of the B&M staff.
Bruce Amspacher has been a professional writer since the 1950s and a professional numismatist since the 1960s. He won the OIPA sportswriting award in 1958 and again in 1959, then spent eight years in college studying American Literature. This background somehow led him to become a professional numismatist in 1968. Since then he has published hundreds of articles on rare coins in dozens of publications as well as publishing his own newsletter, the “Bruce Amspacher Investment Report,” for more than a decade. His areas of expertise include Liberty Seated dollars, Morgan and Peace dollars, United States gold coins, sports trivia, Western history, modern literature and the poetry of Emily Dickinson. In 1986 he was a co-founder of the Professional Coin Grading Service (PCGS).
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