Question for Gold Bugs

[MikeKing]

I was watching the goldberg auction and noticed, or should say it seemed to me that the majority of the lots (accorss the board) were going for below the estimates or reached the bottom estimate. Is this a down season for gold? or is the material out there just substandard?

 

I will confess, I bought an 1864 classic head $5 piece that just appealed to me, and maybe stupidly so, not having someone check it for me to see if it had been dipped or cleaned in the past.

 

Would this therefore be a good time to collect gold?

[michael]

i think the gold lots you mentioned were the value lots in the front of the catalogue

 

right now scarce to rarer gold coins and especially proof gold is strong aND only getting stronger as long as it is fresh to the market has great eye appeal and other extra special and extraordinary qualities that many of the front of the cat goldberg common dated more available gold coins just did not have

 

where as many gold coins that are common or just available in lower grades with not really special eye appeal or special qualities about them because of the flat/sideways/lower metal prices for the last year or so have always put a psychological impact on many gold buyers combined with that fact that many newly graded st gaudens more common date and some scarce date gold coins have been really optistimacally graded at the services the last few years or so does of course put a damper on things

 

and of course currently classic head early gold is terribly undervalued and sleeper in this market and one that has not taken off like the rest of the early gold market

 

these tweener coins are just waiting for their time just like early silver dollars did for two decades or more until they finally took straight off starting around the year 2000 and currently are still the better dates and scarcer types and grades climbing and in demand

 

and it takes quite a contariarian to buy when many others are sitting on the sidelines so to speak ........... as the coin market is a thinly traded highly undercapitalized market

[michael]

yes i think so as a collector spending discretionary income and collecting for the long term yesx it is a good buying to me if you can pick and choose your purchases carefully

 

buying value and opportunity great eye appeal and extra special coins ....................

 

and of course in general with coins you buy when everyone is sitting on the sidelines you collect what is out of favor that has good value and opportunity along with scarcity and historical context with great eye appeal and again SCARCE!! as then it eventually becomes in favor

 

but as a collecgor for the long haul something you like to collect this is also key

 

combine all these above ingredients and you got one hell of a recipe for a fundemential reason to rise in demand

[MBA101]

I have noticed that common date gold coins do tend to go below or at wholesale when auctioned, especially when they are of average or below average quality for the grade. There are also much larger certified populations of gold coins when compared to that of silver and copper, for common dates. Gold is just worth more, so it pays to slab, and that means that gold coins are more available to everyone. Helps to supress prices a bit.

 

I also have not liked the pics of many of the coins that I looked at on Heritage. Most of those coins seem too baggy for the grade....makes me think it is actually harder to find really nice ones...