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 Replies: 6 / Views: 1,575 |
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Pillar of the Community
United States
1406 Posts |
Most of what I have learned leads me to believe that getting the best grade coin you can afford will hold the best value over time. I am now questioning this mindset given the rise in silver price. Can anyone enlighten me as to how pricing adjusts itself during bull bullion runs?
For instance, a junk silver quarter a year ago has almost tripled in value. Have MS silver quarters tripled as well?
Another quandary, will the rise in price push more and more so called numismatic valued coins into the junk category?
These type of questions can pop up in almost every category of silver coins and the answers will vary depending on many factors but lets start the conversation...
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Bedrock of the Community
United States
10982 Posts |
Since this is more of a Precious Metals question, I moved this topic to that forum. There's a lot of different answers to your questions. Here my short answers: Quote:
For instance, a junk silver quarter a year ago has almost tripled in value. Have MS silver quarters tripled as well?
Another quandary, will the rise in price push more and more so called numismatic valued coins into the junk category?
Question #1. No, silver pieces (and gold) that are valued on a basis other than their metallic content will not increase in value at the rate the metal value increased. Conversely, they will not decrease in value as fast either in a bear market.  Question #2. Yes, in theory many pieces will end up with their bullion value exceeding their numismatic value. That does not make them "junk" in my mind but the point is a good one because more and more coins fall into this category as PM prices spike. Common-date Barber coinage is a good example of that. If silver hits $60/oz, even some VF condition Barbers will be pretty much valued at melt price. |
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Pillar of the Community
United States
2424 Posts |
i for one am enjoying this price rise.
why? because as BH stated, these common MS coins will be considered only for their melt value. so for me, I can continue to pursue those high grade not so common coins that I can pick up for melt.. id say look for the best grades you can find and oh yea, the barbers, I picked up a few last week that had were $13.00. 4 months ago, they were still $13.00 becuase they were barbers..
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Pillar of the Community
United States
3184 Posts |
junk silver in circ condition is at 27x+ melt. junk silver in bu condition are also 27x+ melt.........the only difference is that people will buy the bu 90% silver faster than your circulated ones so its easier to sell. If you can why not just pick the bu coins and avoid the circulated ones?
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Pillar of the Community
 United States
1406 Posts |
interesting, I guess it can be a gamble paying higher prices for numismatic coins that are potentially within the reach of a bullion bull market. Conversely, getting the highest grade coins at melt can almost always be a good play.
So, when in a bull market pick up really nice higher grade past numismatic valued coins. This could hedge you against a bear market drop in prices. In a bear market maybe key coins or strictly bullion coins are better.
Here is another question, are there not gold or silver coins with high numismatic value based on say 2x or 3x melt value so to speak?
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Valued Member
United States
314 Posts |
I have been able to pick up nice MS sets, and rolls for close to melt. mkman123 has it right, they will definitely sell much faster than their circulated counterparts.
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Pillar of the Community
United States
1064 Posts |
One good thing, I would think a rise in silver that results in coins being melted would make examples of those that you're hanging on to worth all the more, as the population decreases. That's also the bad part, as most of us are collectors for collecting's sake, and there are only so many of the older coins to go around, unfortunately, for new numismatists to enjoy the 'having and holding'.
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Replies: 6 / Views: 1,575 |
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Posted 04/01/2011 7:33 pm
