Bullion Coin Demand Softens

Sales of bullion coins has been getting softer throughout the past month. Dealer inventories remain challenged, however softer demand appears to be moving in tandem with the modestly lower prices of their spot metal prices. This does not suggest the volume of speculator and investor sales are necessarily declining, but with a recent increase in the value of equities it certainly takes some of the shine off intrinsically valued platinum, gold and silver coins.

The sale price on more available non-circulating legal tender commemoratives are likewise declining modestly. It should be remembered that this is a specialized area of the market and isn’t where most collectors may be active. The price of generally available but collectible coins impacted by the price of their metal composition is showing some signs of a pullback, this being particularly visible in nice but not superior quality, reasonably available dates of Morgan silver dollars.

The spot price of precious metals will likely retreat further as the dollar strengthens on the world market and the stock market continues to improve. A noticeable decline in the spot price of copper suggests inflation is beginning to be tamed. The next trading level for precious metals will likely remain much higher than it was prior to the equity market declines of the post-COVID period.

Coins found in top grades continue to perform well, with some scarce to rare coins continuing to set records. There are several significant auctions on the horizon that will likely set some sales records. The American Numismatic Association convention in August should bring enthusiastic crowds, setting the pace for the fall season.