NGC - With gold and other metals continuing to soar in value, more attention is being paid to tangible assets, including rare coins.
Precious metals, gold in particular, are in the news almost daily. This week, gold reached a new high of very nearly $2,000 per ounce. Prices have softened a bit since, but only slightly. Silver is also in the news, hovering around $25 per ounce. For many who have been around numismatics for a long time, much of this is very familiar. In 1980, silver rose to $50 per ounce and gold to around $850 per ounce. In 2011, gold was over $1,900 per ounce, and silver approached $50 per ounce.
How does today's metal boom compare to the price explosions and subsequent falls of 1980 and 2011, you may ask? As we know, those who fail to learn from the past are doomed to repeat it. Let us examine the differences so that we can make better choices going forward.
In 2011, bullion prices rose in response to the banking crisis and the near collapse of the global financial system. Gold was the ultimate safety-net play for investors around the world. Silver rose sharply on speculation. As the banking and financial crisis worked its way out, however, precious metals dropped accordingly.Read the Entire Article