Free Updates

Let us tell you when new posts are added!

Email:

Navigation

Categories

Search

Archives

<October 2007>
SunMonTueWedThuFriSat
30123456
78910111213
14151617181920
21222324252627
28293031123
45678910

More Links


 Friday, October 26, 2007
Sellout or mellow out?
Posted by Dave

The American Legacy Set went on sale yesterday on the Mint Web site at noon Eastern Daylight Time.

Surprised?

I was.

It was not listed on the Mint’s schedule of future offerings.

Word was a while ago that it was coming out in the autumn. I have a handy spot already labeled American Legacy Set in the Commemorative Coins box on the Mint Statistics page in Numismatic News.

If the set sells out its 50,000 maximum in a day or two, the lack of advance word would be either unfortunate or unnecessary, depending on your point of view. If you are the Mint, busily cashing checks and making credit card account transfers, a sellout would ratify events the way they happened.

If you are a Numismatic News reader, you might be miffed there wasn’t much said about it.

We will see how it plays out. Would-be buyers navigating the Mint Web site will find out that the set contains a full U.S. proof set, which includes the five state quarters, four Presidential dollars, Sacagawea dollar, half dollar, dime, nickel and cent.

The set also includes a proof Little Rock silver dollar and a proof Jamestown silver dollar.

The price of $135 might give you a little pause and spur you to make a back-of-the envelope calculation. I did the math.

You can buy the proof set for $26.95, and the silver dollars for $39 each, making a grand total of $104.95, when the pieces are ordered separately. Is the extra cardboard packaging material worth $20.05?

It might be if you figure you can turn the set around on eBay.

But an ordinary collector might balk, especially with winter heating season coming up.

How will it turn out? Make your decision to order or not to order and then let’s watch.



10/26/2007 8:51:33 AM (Eastern Daylight Time, UTC-04:00)  #  Comments [0]
 Thursday, October 25, 2007
Surprise! Some clad quarters are valuable
Posted by Dave

Many of my readers watch their change. I do, too.

The day before yesterday in the course of my daily routine I received five quarters in my change. I took a look at them. What caught my eye were two of them. One is a 1982-P. The other is a 1983-P. Both of these coins tell a story of what might have been.

Their mintages don’t tell the full story. The 1982-P has a mintage of 500,931,000. The 1983-P has a mintage of 673,535,000. Both are indicative of common coins.

The two coins in my possession definitely are common. The 1982-P is better than the 1983-P. It probably grades AU-50. The 1983-P spent some time in a casino. The edge is nearly smooth as the reeds were worn away in the slot machines and coin counters.

I wouldn’t want to grade it because there are so many hairlines and contact marks that the surface is anything but original or pleasing to look at.

But what if I had saved a roll of each of these back when they were new issues? The Coin Market price guide says the uncirculated 1983-P roll of 40 is $1,500, or $37.50 for each coin. The 1982-P is $220, or $5.50 each. Neither price is a bad return on investment. Imagine what an MS-65, -66 or -67 could bring.

Why are they so valuable? The reason is that the U.S. Mint did not produce uncirculated coin sets,  popularly called mint sets, in either year and hobby habit from the 1960s of saving roll or bag quantities of coins had pretty much died out.

The result is that anyone trying to put an uncirculated quarter set together has to work a bit to find examples of 1982-P and 1983-P quarters.

I don’t think the collectors of those years believed that today’s prices could be possible with such high mintages, but then that scepticism is what kept me and millions of others from saving them in any quantity. In the end, that’s what makes a coin valuable.

If you still have the Numismatic News subscription premium from those years, which were uncirculated sets that we assembled privately, take a look at those quarters. You might want to get them out of your junk drawer.



10/25/2007 9:03:39 AM (Eastern Daylight Time, UTC-04:00)  #  Comments [0]
 Wednesday, October 24, 2007
Funny or heartless?
Posted by Dave

I was reading my mail yesterday when I burst out laughing. It was loud enough that my co-workers looked up and wondered what the joke was.

I did seem to be having a merry time of it.

What I was reading was a reply card that said this: “Yes, I want to help American Numismatic Association instill the passion of numismatics for those less fortunate.”

Am I some sort of Scrooge? Do I say “Humbug” when someone wishes me “Merry Christmas?”

No that is not me.

What I found funny was the idea that any of us who are engaged in coin collecting can somehow be called the less fortunate. I have always considered collectors the most fortunate people.

The ANA mailing was seeking donations toward a worthy goal of providing more scholarships to Young Numismatists for the annual Summer Seminar.  That is indeed a worthy goal, but I cannot get past the initial few words that I read.

Words matter in my business. I have been chewed out in letters about stories that call “proof” a grade rather than a method of manufacture.

I think I would respond better to an appeal that would ask for help in opening doors to greater opportunity to fulfill a drive for numismatic knowledge that we all share. Sure, that would imply that any collectors no matter what their circumstances already had opportunities, but I think that more closely fits the reality of collecting and our self image.

I may be out there on a limb all by myself in this view, but I wanted to ask, “What’s next? Taking up a collection so someone can buy a 1913 Liberty Head nickel he couldn’t otherwise afford?”

I’ll volunteer for that.



10/24/2007 9:02:04 AM (Eastern Daylight Time, UTC-04:00)  #  Comments [1]
 Tuesday, October 23, 2007
Give the power of knowledge
Posted by Dave

Retail stores aren’t the only places where it is already Christmas. Here we are preparing our holiday gift guide that will be inserted in futures issues of Numismatic News, World Coin News and Bank Note Reporter.

The difference is what we are doing here in the office is known to just a few of us while the retail business is known to virtually everyone. We are simply planning ahead for issues that carry the December cover dates.

Now that I have you thinking about the holidays, do you dare give a hobby-related gift? It is a challenge. Even when it involves one collector giving something to a collecting child or grandchild, there can be false steps. Noncollectors may think we collectors are all the same, but we know better.

That means finding something that can have the widest possible appeal. Let me suggest books. We all know that many collectors are reluctant to spend money on books when it seems it could be better used buying coins. Take that seductive thought out of the equation. Give a book. The recipient will be grateful and he or she will never have had to go through the agony of thinking the book somehow took the place of a more desirable coin.

Yes, this is a backdoor way of achieving a goal that shouldn’t have to be undertaken indirectly. But books are like vegetables. Those who consume them are better off for it.

Never has knowledge been more important. The Internet offers so many collectors more numerous opportunities to make mistakes. Books can help shorten the learning curve.

You may know that the 1804 dollar offered online can’t possibly be real, but the less educated with the question of how you can know can be answered pre-emptively without that potential for making the questioner feel silly or awkward.

Knowledge is power. Consider sharing yours with someone by giving them a book.



10/23/2007 8:55:43 AM (Eastern Daylight Time, UTC-04:00)  #  Comments [0]
 Monday, October 22, 2007
Watch silver and base metals
Posted by Dave

Halloween won’t occur until next Wednesday, according to my wall calendar, but for the financial markets, the time for seeing scary figures seems to have been Friday. Moreover, the holiday may have an extended run on Wall Street. We will find that out today.

Friday was the 20th anniversary of the 1987 stock market crash. In one day, the market fell more than 20 percent. The significance of that day wasn’t what happened, but what didn’t happen. The U.S. and the world did not plunge into depression. It took a couple more years, a saving and loan crisis and a war in Kuwait to put the economy into reverse.

The coin market also didn’t take notice of the Wall Street mayhem. The boom in slabbed silver dollars was in full force. Grading services were in their infancy then and the volume of coins going to PCGS and NGC was so huge that anybody who could grade that went to work for the services made a bundle, too.

Like the larger economy, it took another couple of years for the silver dollar boom to play itself out.

What about gold? It hardly budged. On Oct. 19, 1987, it was $481.70 a troy ounce. On Dec. 31, it was $486.20. For silver, the crash was a decided negative. It went from $8.19 an ounce to $6.68.

When the crash came in 1987, I had already written an editorial about the effect of rising base metals prices on U.S. coinage. After the crash, it was a worthless topic because the base metals reversed course as silver did. I had to do a rewrite that completely reversed its meaning.

I don’t know what the markets will do today, but I will be keenly watching silver and the base metals.



10/22/2007 8:57:15 AM (Eastern Daylight Time, UTC-04:00)  #  Comments [0]
 Friday, October 19, 2007
Not a bad place to start
Posted by Dave

The 40-page Coin Market price guide section of Numismatic News goes to press later today.

Rising prices of gold, silver and platinum are pushing up prices for all sorts of coins, from the scuzziest pre-1965 quarter to the finest of proofs.

Longtime readers might be interested to know that any silver coin is worth approximately 10 times face value. That makes an easy calculation. A dime is a dollar, a quarter $2.50 and a half dollar is $5. This is approximate because of the daily price fluctuation. At yesterday’s close of $13.711 per troy ounce, it actually works out to a fraction more than 9.91 times face.

The old Morgan and Peace silver dollars were not struck to the same weight standard as those other silver coins. They weigh in at 0.7734 troy ounces of actual silver weight. A dollar face value of the other coins adds up to 0.7234 troy ounces.

The dealer rule of thumb calls the 0.7234 number 0.715, or 715 ounces per $1,000 face value, to account for wear. That makes the multiple 9.8 times face value.

Whatever you want to call it, as high as silver is, collectors with memories of 1980 might consider silver a laggard this time around. The present price is far from the $50 peak while gold is less than $100 from its old peak of $850 a troy ounce.

Will silver catch up? It could spurt a little, but it must be remembered that a good deal of silver’s price in 1980 was due to an attempted corner of the market led by Nelson Bunker Hunt. Without that factor, the 1980 high might have been significantly lower, perhaps somewhere near where the price is now.

Ten times face value, though, is a nice floor to any collector’s worth. That doesn’t mean they wouldn’t be happy to get more. We’ll see.



10/19/2007 8:57:36 AM (Eastern Daylight Time, UTC-04:00)  #  Comments [0]
 Thursday, October 18, 2007
Thoughts scatter on return to office
Posted by Dave

My return trip from Colorado Springs, Colo., yesterday was uneventful and on time. I got back to Iola about 8:30 last night. Considering the headlines about airlines in newspapers lately, I feel fortunate.

The sunny weather of Colorado has given way for me to the gloom and rain of Iola. The office is kind of empty. Our antiques group has borrowed numismatic personnel to help staff our Atlantique City show out in New Jersey. The misspelling of “Atlantic” is a deliberate play on “antique.”

I also had the usual pile of snail mail waiting for me. The clock ticks even when I am not here. E-mail I have not yet even glanced at. The blog comes first.

I see the Mint has made progress. The uncirculated “W” Gold American Eagle coins are back on sale with new and higher prices. The one-ounce piece is $831.95, a premium of almost $75 to current gold bullion value.

The proof gold American Eagles and the uncirculated “W” platinum American Eagles remain off sale.

Today I will focus on pricing of another kind as the Coin Market section gets ready to go to press tomorrow. The 40-page monthly section will be bound into the Nov. 6 issue of Numismatic News, which goes to press a week from today. Harry Miller is staying busy keeping up with the changing prices.

After that comes the holiday gift guide section. Yes, the holidays are coming. It doesn’t seem possible.



10/18/2007 9:00:55 AM (Eastern Daylight Time, UTC-04:00)  #  Comments [0]
 Wednesday, October 17, 2007
But what would Walter say?
Posted by dave

For a little over an hour yesterday, I was taking notes as fast as my hands could move my pen across my note pad. The American Numismatic Association announced its decision to fire executive director Christopher Cipoletti. I was attending the public portion of the board meeting.

At that point, I want to yell, “Stop. That’s enough. I have this week’s front page.” But for the ANA board of governors, they had a large number of other tasks at hand during this first meeting where everyone is together since the Milwaukee, Wis., convention in August. They had to provide that information also.

I ended up filing three stories with the office. One was about the firing and the task of finding a new executive director. A second story was about other business. If not for being in the shadow of the firing, the other business would have been the front page material. The ANA canceled the San Francisco museum project, which would have put a 7,800 square foot ANA museum in the Old San Francisco Mint. This follows an Oct. 2 decision to cancel the Washington museum plans. Now only a possible enlargement of the Colorado Springs, Colo., museum is still under active consideration, but that could bite the dust too for lack of funds.

What I didn’t get to do was talk to Walter Ostromecki to find out how it feels to see this day come. He was removed as a member of the board of governors just two years ago at the October board sessions. Many ANA members were outraged and they had their way when they voted to return him to office in this year’s election. My third story was about Walter’s emergency kidney stone surgery in Colorado Springs. I am told he is OK.

Three stories are not a bad afternoon’s work.




10/17/2007 9:22:56 AM (Eastern Daylight Time, UTC-04:00)  #  Comments [0]
 Tuesday, October 16, 2007
Alan can't be homeless
Posted by dave

When I arrived at the Antlers Hotel yesterday in Colorado Springs just before 6 p.m., who was sitting in the lobby to greet me but Alan Herbert, the Numismatic News Answerman. I had expected to telephone him once I got settled in my room. We were going to go out for supper. Plans changed when he told me that there was no room for him in the hotel. He and I decided to share a room and that solved the problem. What event was filling the hotel I have not yet figured out.

Alan is in town to deliver a report to the board about membership. He is chairman of the membership committee. It has hit the floor running and has already had two monthly telephone conference calls, a rather new idea for an ANA committee. President Barry Stuppler has participated in both. Membership is critical to the future of the organization.

Alan said the tensions of the election campaign did not have an adverse impact on overall membership and as soon as the results were known, overall membership started moving ahead. The specifics of his report will be revealed later today. Membership has been hovering around 32,000 in recent years.

In addition to getting the attention of the ANA president, the committee includes some high-powered names, including newly elected governor Clifford Mishler and Farran Zerbe Award winners John and Nancy Wilson. It would be safe to call John and Nancy Mr. And Mrs. ANA. They have poured enormous energy over the years into recruiting new members. If we all did as they do routinely, there would be no need for a membership committee. The ANA would be beating them off with a stick.

Because of the time difference, I am writing this before my breakfast. Can you tell that this was written before that oh so important first cup of coffee? No? Well my stomach can. I am off to satisfy this most insistent of critics.



10/16/2007 9:04:00 AM (Eastern Daylight Time, UTC-04:00)  #  Comments [0]
 Monday, October 15, 2007
Time to hit the road
Posted by dave


Memory is a funny thing. I am heading for the airport this morning to fly out to Colorado Springs, Colo., to cover a board meeting of the board of governors of the American Numismatic Association.

Am I thinking of whether the board will go forward with plans for a West Coast museum in a portion of the Old San Francisco Mint? Yes, but ...

Am I thinking about the fate of executive director Christopher Cipoletti, who has been on paid administrative leave since the convention in August? Yes, but ...

Am I thinking about whether the ANA will go forward with its bylaws review and revision process? Yes, but ...

So what is so funny about that? It all seems pretty ordinary.

Well, since I began shaving this morning I keep thinking of a former employee who hasn’t worked here in 22 years and is no longer living.

Bill Pettit often used to sing Willie Nelson’s “On the Road Again” when he traveled. He particularly liked travel by motor vehicle and hearty breakfasts or lunches at Bob Evans.

He was an interesting traveling companion because he was a font of stories both from history and from his experiences in numismatics. I always seemed to learn something.

I wasn’t looking to turn down hearty meals, either.

Starting this blog, I also began to think about Joel Edler, our retired ad manager and also former Coin Market editor.

Whenever we would cross the Mississippi, usually near St. Louis and Memphis, he would sing “Ol’ Man River.” His voice is much more memorable than Bill Pettit’s, but that doesn’t happen to be the song spinning through my mind today.

At some point, my mind will turn to something else and I will report back to you.



10/15/2007 8:53:55 AM (Eastern Daylight Time, UTC-04:00)  #  Comments [0]
 Friday, October 12, 2007
Just proof platinums left
Posted by Dave

Stock market traders say you shouldn’t resist a trend. I won’t resist it for my choice of topic today.

The first thing I did when I arrived at the office and signed into my computer was check what gold and platinum products were currently being sold by the U.S. Mint.

Nothing had changed since my two-line entry of yesterday. But that itself is news. No product has been put back on sale. Only the proof platinum American Eagle coins are still available.

How long with they last? Platinum rose yesterday. It closed at $1,420.40 a troy ounce. The proof platinum one-ounce American Eagle price is $1,599.95. The difference of $179.55 still seems to be safely large enough for sales to continue if I employ my newly minted $100 tripwire hypothesis.

Nobody outside the Mint knows if that is true or not. Even Mint personnel don’t know what the price of the precious metal will do on the markets today or next week.

My advice to anyone who has been considering buying a proof platinum American Eagle or a an Eagle set should probably act now to make sure that they get what they want.

Whether these are good investments is another question entirely. The one-ounce proof has a sales total of 1,839 so far. The proof half ounce is less than half of that at 752. The quarter ounce is 860. The tenth ounce is 1,569. That might be the sleeper. The uncirculated “W” platinum tenth ounce has a sales total of 2,688, making the proof relatively much scarcer as an individual sales option. But we need to consider the sets in my evaluation.

The four-coin platinum American Eagle proof set has a sales total of 3,130, comfortably more than the 1,951 unc. sets.

To be absolutely accurate on totals, you have to add individual numbers to the set numbers to arrive at the correct number for each individual piece.

If you do that for the tenth ounce proof you get 4,699 coins. The “W” unc. tenths total 4,639. These numbers are almost identical. Isn’t that interesting?



10/12/2007 9:03:05 AM (Eastern Daylight Time, UTC-04:00)  #  Comments [0]
 Thursday, October 11, 2007
There goes another one
Posted by Dave

Look at that. The proof gold American Eagle sales have been suspended on the Mint Web site. Proof platinum American Eagles remain on sale as do the silver American Eagles.



10/11/2007 12:31:55 PM (Eastern Daylight Time, UTC-04:00)  #  Comments [0]