Daily Rare Coin Market Update
August 25, 2009 – There are several different unique factors that can affect rare coin prices on a daily basis, and that is why understanding these factors could help you maximize profit and wealth preservation potential in this exclusive market. The three most important factors that affect rare coin prices are the daily market spot prices, rarity and condition. The daily market spot prices of gold and silver are basically the base prices of coins without the additional rarity and condition premiums factored in. As you may already know, spot prices fluctuate on a daily basis as supply and demand pushes and pulls the value of the metals, and you can track this important factor by visiting reputable websites like www.GoldPrice.net and www.Kitco.com.
The condition and rarity of coins also affect rare coin prices because it’s obvious that greater condition/rarity coins demand a higher premium. Condition in particular is depicted by the Mint State Grading. Reputable third-party numismatic assaying companies like the Professional Coin Grading Service (www.pcgs.com) and the Numismatic Guaranty Corporation (www.ngccoin.com) assign a Mint State Grading to all their certified coinage in order help investors and collectors determine condition. Typically, most investors tend to stick with coins between the Mint State Grading of MS-61 through MS-66 in order to avoid paying a significantly higher condition premium. On the other hand, rarity is depicted by the overall population of the coinage along with several other unique factors. Typically, most investors tend to stick with coins that are widely traded and common dated because they hold lower premiums as opposed to significantly rarer coins that hold much higher premiums.
Shawn Penny
Senior Staff Writer - Rare-Coin.org
