Buy, Sell, or Hold Pre-1933 Generic Gold

[JIM F.]

Post your opinion.

Thanks for participating.

[RWB]

Why "1933?"

[Dan Marinelli]

Hi Jimbucks,

 

I'm a buyer except I'm not in a position to buy. But I'll hold what I got. I think they're making dollars and yen faster than they're making gold so for the long-term I'm a buyer/holder of physical metals.

 

Dan

[coinman1794]

Hold, and buy if you can find good deals. Premiums have spiked again for these.

[mintcollector]

Hello Jimbucks,

 

Shouldn't clarification be made if you mean whether from a numismatic point of view or that of a general gold buyer?

 

I would like to add a few coins to my 'type set' I am working on in MS 63 or higher. That being said, I really like this poll. I have been cautious of 'generic' gold coins due to the recent run up in price of gold in general.

 

 

'mint'

[AnkurJ]

I'm holding. Premiums have climbed again on these.

[nk1nk]

Have the premiums really went up? Or is it just because gold is down? Since Oct. '12 gold is down $210 and I think generic gold has held pretty steady. If gold makes another run up $200, I don't see generic gold making that same run. Just my 2 cents. I would personally hold and only buy great deals that come along, but plan on holding for a long while.

 

Nick

[MarkFeld]

Have the premiums really went up? Or is it just because gold is down? Since Oct. '12 gold is down $210 and I think generic gold has held pretty steady. If gold makes another run up $200, I don't see generic gold making that same run. Just my 2 cents. I would personally hold and only buy great deals that come along, but plan on holding for a long while.

 

Nick

 

If gold has dropped $210/ounce and during that time, generic gold coins have held steady, by definition, that means that the premiums have risen.

[coinman_23885]

Have the premiums really went up? Or is it just because gold is down? Since Oct. '12 gold is down $210 and I think generic gold has held pretty steady. If gold makes another run up $200, I don't see generic gold making that same run. Just my 2 cents. I would personally hold and only buy great deals that come along, but plan on holding for a long while.

 

Nick

 

If gold has dropped $210/ounce and during that time, generic gold coins have held steady, by definition, that means that the premiums have risen.

 

Or that the market hasn't adjusted quite yet (i.e. the premiums could be artificial and short term). If these prices continue to hold steady, then I would agree.

[nk1nk]

Have the premiums really went up? Or is it just because gold is down? Since Oct. '12 gold is down $210 and I think generic gold has held pretty steady. If gold makes another run up $200, I don't see generic gold making that same run. Just my 2 cents. I would personally hold and only buy great deals that come along, but plan on holding for a long while.

 

Nick

 

If gold has dropped $210/ounce and during that time, generic gold coins have held steady, by definition, that means that the premiums have risen.

 

Or that the market hasn't adjusted quite yet (i.e. the premiums could be artificial and short term). If these prices continue to hold steady, then I would agree.

 

+1 at coinman

[coinman1794]

I have seen premiums on MS61-63 generics rise, not stay the same, in the last 6 months, trending opposite of the price of gold. I think $5 liberty's have moved up about $100 in that time, on average. This is a rise in premium as demand for them increases (for a variety of reasons).

[MarkFeld]

Have the premiums really went up? Or is it just because gold is down? Since Oct. '12 gold is down $210 and I think generic gold has held pretty steady. If gold makes another run up $200, I don't see generic gold making that same run. Just my 2 cents. I would personally hold and only buy great deals that come along, but plan on holding for a long while.

 

Nick

 

If gold has dropped $210/ounce and during that time, generic gold coins have held steady, by definition, that means that the premiums have risen.

 

Or that the market hasn't adjusted quite yet (i.e. the premiums could be artificial and short term). If these prices continue to hold steady, then I would agree.

 

+1 at coinman

 

Perhaps the generic gold coin market will adjust/drop, but that is a separate matter. The fact is, that based on the information provided, the premiums ARE higher. And that is a fact, whether they later decline, increase further or remain the same.

 

There is nothing complicated about that concept.

[DirtyGoldMan]

I am an active buyer of select "generic" gold.

[coinman_23885]

I am an active buyer of select "generic" gold.

 

What do you define as "select generic gold"?

[coinman_23885]

I'm buying all mint state pieces made before 1880 that sell for just above melt (or at least they were). I have picked up some mint state Philadephia gold from the 1850s at a tiny bit over melt; and I have picked up select branch mint coins in grades from VF-AU that are trading for only small premiums over melt. I also think that some generic gold is undervalued in the 65 and higher range (especially, e.g., Saint Gaudens Double Eagles).

[DirtyGoldMan]

I am an active buyer of select "generic" gold.

 

What do you define as "select generic gold"?

Coins that I find interesting or need for various date and type sets.

[BillJones]

I am holding on the generic gold that I have, and I'm buying the pieces I need to complete my current projects. None of those coins, which mostly from the southern mints, can be called "generic."

[JIM F.]

Thanks for the comments. I intended "generic" to refer to common date low MS or circ grades. Personally, I am in the "hold" camp leaning towards buy (if resources were available of course), but will probably be selling some in the near future under the BST thread to "thin the herd".

 

[Nutmeg Coin]

MS63 Saints are trading around $1700; MS65 Saints are trading for a little over $2000. Those are small premiums that do rise when gold spot price jumps, but not that much if we could graph these coins over the last few years. $5 Indians carry significant premiums, and a few other issues. Bullion coins are a lot easier to trade as long as you are willing to ship as I know of no coin store or small show dealer who pays top dollar. CAC prices on gem coins have been pretty steady, but these represent a very small population relatively.

[MarkFeld]

MS63 Saints are trading around $1700; MS65 Saints are trading for a little over $2000. Those are small premiums that do rise when gold spot price jumps, but not that much if we could graph these coins over the last few years.

 

Are you saying that the prices of the gold coins rise when the spot gold price jumps, or that the the "premium" rises for the gold coins? Those are two very different things.

[Nutmeg Coin]

If gold has a sudden rise, for example $100 over current $1572 spot price: Saints in MS63 and higher grades will go up more than $100 while gold eagles will generally stay the same percentage wise. Rapid rises create larger demand than supply so the major wholesalers will often raise their bids so they can fill their orders. This does not apply to copper spotted and other problem coins.

 

Is there any good source for publicly available graphs comparing all the grade levels on a percentage basis over spot price? That would answer the thread topic immediately. I have seen much bigger premiums on type gold than we are seeing today.