Daily Rare Coin Update
September 10, 2009 - The recent surge in gold prices has led many gold dealers to sell NGC coins in increased quantities. Gold brokers buy and sell NGC coins and PCGS coins to and from investors who are looking for non-confiscatible gold coins. The current trend is for investors to shift funds into commonly traded, widely known gold coins that are certified by either of these nationally recognized numismatic services. Some investors purchase more obscure coins, although these may carry a steep premium that could fluctuate based on the whims of collectors, and are sometimes hard to price check. Bullion is another option for gold investors who want physical metal, and those who are not concerned with a possible collapse of the dollar buy bullion bars or coins, like the Krugerrand, for short-term holds. Gold Exchange Traded Funds have been the fad lately, although many investors are becoming nervous about holding a piece of paper that may or may not be backed by real gold. Physical delivery is available for gold coins and bars outside of retirement accounts, whereas ETFs are simply designed to track the price of gold, more or less. For these reasons, investors have been shifting an increasing percentage of their portfolios into certified metal over the past 12 months.
At 1pm EST on Thursday, the gold spot price on the NYMEX remained at levels consisten with earlier in the day, with gold for September delivery sitting right below the $1000 mark at $993.40. Gold bullion has increased 32% in the past year, an average of 2.7% per month for the last 12 months. ETFs have increased 29.8% in the last year, and investment level NGC graded coins have increased an average of 36% over the last 365 days.
Shawn Penny
Senior Staff Writer - Rare-Coin.org
