Collector Buying Decreases
The collector market is not in correction mode. What we see is that outside forces are impacting the coin business.
There has been a slump in collector purchasing activities recently, accompanied by modest price decreases in some usually popular areas. Dealers that service the general public, which is now speculating in precious metal composition coins, are seeing some slowdown, although some report more buying than selling.
Don’t misunderstand these as being signals; the collector market is not in correction mode. What we are seeing is outside forces impacting the business of coins. The economic realities are that this is an equity market in uncertain territory accompanied by higher-than-anticipated inflation and a dollar that is stressed on international markets.
It may be challenging to measure, but it appears there is no lack of interest in coins to which blame should be attached. Collectors still require discretionary money to continue to collect. When the cost of housing, food, and fuel continues to increase, the amount of discretionary money in the pocket of the average collector declines, even if some collectors attempt to convince their spouses that food and shelter are overrated.
Despite some recent price adjustments, the overall market continues to perform well. In fact, there are areas where price increases have continued. While some collectible coins need to right their values, modern circulation coins continue to feed the hobby as people look at their change. Alabama is represented on the recently released American Innovation $1 Coin. Since not that many dollar coins are available in circulation, recognize that there are many novice collectors watching their quarters as well, this being another area of importance due to these quarters being circulating commemoratives. This market blip is isolated to several series. And it is a blip, not a downturn.
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