Gray Sheet: Is It Worth The Expense?

Herein lies the problem. Most LCS will try to buy @ 80 to 90% of BID and sell for ASK which is usually 10% above BID - this could be a spread of 20 to 30%. Usually, the higher the grade, the higher the buy price. For example, an MS64 or below Morgan will bring 80% of BID while an MS65 or better might bring 90%.

Greysheet has all but eliminated ASK pricing for most issues. This, coupled with the availability and marketing of the Greysheet to new users has forced BID price to become the ASK price, driving prices down across the board. ebay is the dagger through pricing's heart. Selling at BID less fees drives net prices lower as it continues to establish baseline prices.

It is and will continue to be a problem as margins are compressed.

Silver bullion is often purchased at spot minus .50 and sold at spot plus $1.50 to $2.00 depending on the issue or the relationship with the customer. This constant buy/sell process yields a decent percentage return which is actually larger at a lower spot price.

Gold is sold in much the same manner, but the spreads/premiums are greater. 1 oz might be at 5% above spot, 1/2 oz might be @ plus 8%, 1/4 oz @ +11% and 1/10 oz @ 15-18%.

Most common gold (bars and bullion) is bought below spot as melt values are sometimes less than spot. US and other Gov't gold coinage are bought at spot price if they are in BU condition. Modern gold Gov't issues are worth spot to most dealers. Classic Gold is usually at less than BID with the % based on the issue.

LCS will make little to no money on supplies as they simply cannot sell enough of them. On-line vendors have certainly monetized these items as well.

Let's not even touch upon Mint and Proof Sets.

I subscribed to the weekly sheet which arrived on Saturdays. So I could use it for the Sunday coin shows. Then it started arriving in my mailbox on Mondays so I didn't renew.

Agreed. I am satisfied using NumisMedia and ebay completed sales.

This is what it is supposed to represent - in a perfect world. But I have personally seen many transactions at LCS and coin shows for BID price. These are certainly not dealer to dealer transactions. A buyer with a Greysheet in hand is quite common.

Exactly my point. Can't have your cake and eat it too. It has driven prices down and has caused many sellers to hold onto better dates and grades rather than let them go at deflated prices.

I utilize the Greysheet for a number of reasons. Chief among them is to ensure that I am paying a "fair" price and not getting gouged. And yes, this does include the seller's mark-up or spread. While I am very happy as a buyer to now be able to purchase a coin at BID when offered, I also understand what this trend is doing to the seller side.

Having been used to purchasing at or around ASK price for years, it was very noticeable when prices started trending lower. The fact that it occurred while the Greysheet was expanding its subscription base AND reformatting their issues to exclude ASK prices may just be coincidence and anecdotal. But it has occurred.

Question: What happens when the Blue Sheet becomes common place?

I didn't renew after they increased the price. You can find all the pricing information you need on the internet anyway.

If you aren't buying and selling on a daily basis (more then just one or two coin) I really don't see any reason for a subscription. Coins really don't change in value that much that fast. You would probably be fine just picking up the occasional issue and you can do that by just buying and downloading the latest issue on the website.

Never had one, never used one, never even wanted one.