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 Replies: 23 / Views: 4,033 |
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Rest in Peace
United States
18456 Posts |
A little bit off subject but I hope the mods will pass it through . Lets just say Silver were to hit an astronomical price of $100 an ounce , Do you believe your semi key and better date silver coins would go up in price to a Numismatic ally higher collector value . ( hope I put that across the right way ).  |
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Pillar of the Community
 United States
614 Posts |
Quote:
In the late 70's the Hunt brothers tried to corner the market and it was up to almost $49 an ounce.
In 2011 is hit $35 an ounce.
I would think back in the 70's would have been the great melt of coins, but it didn't happen then, and I really don't see it happening now. Here is an article which addresses some of what you said. Specifically Quote:
That puts the March to July 2020 performance in the "top 4% of all four-month gains over the last half-century," he told MarketWatch. Even so, silver has outpaced this current surge many times — in 1974, 1979, 1982, 1987, 2010 and 2011 https://www.marketwatch.com/story/w...h-2020-07-13As of this morning it is up another $1.39 to $24.10 Edited by farrider11
07/27/2020 09:01 am
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Moderator
 United States
54282 Posts |
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Lets just say Silver were to hit an astronomical price of $100 an ounce , Do you believe your semi key and better date silver coins would go up in price to a Numismatic ally higher collector value No. It merely raises the minimum price for any coin, regardless of grade. |
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Pillar of the Community
United States
3343 Posts |
I have seen increasing bullion prices erode the difference between bullion and collectable coins before, and am seeing it again T-BOP.
I remember when an AU 1891-CC eagle was $350 at $200 melt. When melt went up the differential went down for a while, then caught up. For the past year there have been lots of collectable gold bargains, which are now priced under current scrap. Coin dealers change old pricing slower than the bullion markets move. High melt also brings some better coins to market out of collections, which dealers price to sell quickly.
With $10 Indians there used to be a substantial differential, but that went away and never returned.
"Two minutes ago I would have sold my chances for a tired dime." Fred Astaire
Edited by thq
07/27/2020 3:11 pm
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Valued Member
United States
314 Posts |
I would guess that there is always a modest stream of melting that really accelerates when prices jump.
I would guess LCS don't do a whole lot of melting unless what they have is really awful and basically unsalable. But for the most part they seem able to command and get substantial premiums to spot so no need to melt.
I would guess that the "Cash for Gold" people do a LOT of melting. I think this is their business model. They probably have a well organized melt arrangement. Pay substantially less than spot to the uninformed public, cherry pick coins or jewelry to resell marked back up to retail and then immediately melt the rest to lock in their profit.
As to population, the best condition rare date coin populations are probably pretty well known and are not likely to change much. As a recent study by PCGS pointed out, true rare date coins have performed remarkably well while generic graded coins (the ones you see by the box full at coin shows) have actually gone down in value.
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Pillar of the Community
United States
4333 Posts |
Back around 2010 when I was doing a lot of silver mining (rolls) and lots of road trips 10-15 banks per day, I found that the cash for gold places weren't interested in selling to the public.
When I listen to LED ZEPPELIN...so do my neighbors...
Roll hunting since '77
Dirt fishing since '72
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Pillar of the Community
United States
2637 Posts |
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I would guess LCS don't do a whole lot of melting unless what they have is really awful and basically unsalable Talking with my LCS last week, they were approached as to whether they had any St. Gaudens. Just culls was the answer. He got $300 over spot for culls. |
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Valued Member
United States
314 Posts |
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I found that the cash for gold places weren't interested in selling to the public. Meaning they were not too interested in selling at a price level that most of us would be interested in? That fits their business model. Buy from uninformed sellers and sell to uninformed buyers. |
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Pillar of the Community
United States
4333 Posts |
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Meaning they were not too interested in selling at a price level that most of us would be interested in? I was well prepared to pay over spot. They had no interest in negotiating. When I listen to LED ZEPPELIN...so do my neighbors...
Roll hunting since '77
Dirt fishing since '72
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Pillar of the Community
Canada
1051 Posts |
Lots of stuff has (and will continue to) hit the melting pot. I've talked to a dealer that sent thousands of still-sealed silver Canadian PL/uncirculated sets out to be melted down.
I also got a peek into a dealers gold scrap bin, and there is some very nice jewelry being sent off for melt at these prices.
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Pillar of the Community
United States
3843 Posts |
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I found that the cash for gold places weren't interested in selling to the public. This was exactly my experience at 75% of the cash for gold establishments I stopped at back during the last big run up and then crash. Only a few were interested in selling to the public. Part of it was I don't think they wanted to be cherrypicked and also the staff they had in these types of stores most of the time didn't have much knowledge of anything they were selling. They needed to call "their coin guy" to price stuff that wasn't junk silver or commonly seen rounds/bars. |
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Rest in Peace
United States
18456 Posts |
Quote:
I also got a peek into a dealers gold scrap bin, and there is some very nice jewelry being sent off for melt at these prices. Sometimes I wonder if the smelters themselves cherry pick all the Gold and Silver they get before it goes into the pot .  |
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Pillar of the Community
United States
616 Posts |
The run in prices has made me face an inconvenient truth: I'm not a precious metals investor, I'm a hoarder. All I do is buy: I never sell, and when the prices rise it just means I do less buying.
I think it's a disease.
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Pillar of the Community
United States
4333 Posts |
Quote:
The run in prices has made me face an inconvenient truth: I'm not a precious metals investor, I'm a hoarder. All I do is buy: I never sell, and when the prices rise it just means I do less buying.
I think it's a disease. I hear ya! I've invested thousands upon thousands of dollars in health, auto and homeowner's insurance (not to mention life ins. lol) with not a single claim made in 20 years, but when you look at a PM stack, feel all warm and fuzzy! When I listen to LED ZEPPELIN...so do my neighbors...
Roll hunting since '77
Dirt fishing since '72
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Pillar of the Community
Australia
1333 Posts |
i think many of the people who hold silver morgan's arent going to let them go for cheap that first second. Melting will depend on what the premium silver fall to not go up by cause the higher the premium the less you going to melt these coins down you more likely to keep them. numismatic coins will depend on market more supply then a fall in price more demand then prices go up and vice versa.
What I want to know is what happened to the premiums of the newly minted and the older minted stuff premiums and how they changed when prices spiked up and when
they inevitably went down? (old timers hope I'm not being rude)
Edited by ryurazu
08/06/2020 03:11 am
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Replies: 23 / Views: 4,033 |
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Posted 07/27/2020 08:58 am
