Daily Rare Coin Update
May 7, 2009 – Indian Head gold coins are increasing in popularity in many investment portfolio because they are similar to the more popular $20 Saint-Gaudens, except that they have lower value due to their smaller denomination. The three different denominations of Indian Head gold coins are the $10, $5 and $2.5 varieties. Investors tend to like them because of their distinctive design that separates them from traditional American coinage. As with many smaller denomination coins, the Indian Heads do carry a larger premium than the bigger coins because they are minted in lower quantities. The Certified Gold Exchange typically recommends them to investors who seek long-term wealth preservation as opposed to short-term profit because they have proven to increase in value significantly when held over a period longer than three years.
By around 3 PM Eastern Standard Time, several of the investment-grade Indian Head gold coins are increasing in value along with the more popular rare coins due to the higher gold spot price that currently sits at $914.60 per ounce, increasing $3.40 for the trading day while the silver spot price currently sits at $13.79 per ounce, increasing six cents for the trading day. Tomorrow may be an interesting day for rare coin investors because spot prices may fluctuate significantly based on the soon-to-be released results of the US bank stress tests. This being said, keep a close eye on the daily news along with the strength of the United States Dollar and equity markets in order to get a better feel of the possible market fluctuation in the upcoming weeks.
Shawn Penny
Senior Staff Writer – Rare-Coin.org
