Gazing the crystal ball....and looking back. What does the future hold?

[Wyatt Earp]

Before we look ahead....let's first look back. Not too far back....unless you'r really young. I'm thinking of somewhere around 1981....when silver hit 50 dollars an ounce and not only did the numismatic marketplace fail to adjust, but many collectors were very anxious indeed to dump silver coins of numismatic interest because they were worth so much as bullion.

OK....Now that I've painted a backdrop for this discussion, I want to know if you think the numismatic market will keep pace with increasing silver values. I tend to think that it will not. I think that our modern world is so geared to money that as silver prices escalate....more and more "blue collar" collectors won't be able to resist the urge (or need) to sell, leaving coin collecting to only the more well heeled sector of the population.

How much would you be willing to pay for a common date silver dollar...20 dollars? Thirty dolllars? Fifty dollars?.....At what point does this become a rich man's game...leaving the man of modest means on the sidelines?

I have begun amassing bullion.....and am trying to sell off items of numismatic interest for that very reason. If it's going to come to the point again where coins are only sold for the metallic composition....I don't know if I want to have a bunch of high dollar collectible silver coins. If I can sell a collectible silver dollar for enough to buy 3-4 ounces of silver....the dollar coin is outta here....because if silver does increase beyond what the collector market will support again.....a silver dollar still only contains 3/4 ounce of silver regardless of it's value as a piece of history.....and I'd rather have the 3-4 ounces of bullion at that point.

Am I thinking wrong? Nice sales pitch eh? Wanna buy some coins?

Wyatt

[DiggerJohnPA]

Ahh.... so that's why you've been buying up all those eBay lots.

You bring up a very good point and I must admit that I've never considered it. I would have to say that I agree with this sort of thinking when it comes to gold coins, but not silver. I would never buy a gold coin that has major numismatic value over melt, because I feel there is too great a risk of loss there. I tend to keep my "history" (great term by the way) seperate from my bullion. Actually, since I mainly deal in small quantities, I tend to use my bullion sell-off profits as a means to attain better pieces of "history" for my keeper collection. That being said, I don't think I would part with them any time soon because they are just that... pieces of history that I prize.

Great topic

[Wyatt Earp]

I have some pretty nice history that I'm going to be trading for bullion in the weeks to come. Gregory is going to host my website, and I'll be setting up a page with some nice stuff on it. I intend to keep the prices very appealing. I also have a couple Dansco Supreme albums (Peace Dollars and Franklin half dollars) that I intend to empty into rolls and sell off. The Franklin one is complete.....but that's not a huge feat. I'll just roll those. I have some proofs, and I'm not real fond of those.

The idea of buying up good lots on eBay is to turn items of numismatic interest into bullion. While most want to lose weight....I'd like to gain weight.

Forecasters are predicting gold at $850.00 per oz in 2008, and silver at 25.00 (they had more exact projected figures...but I rounded them) ...and I want to have as many ounces as possible if and when that level is reached. History is cool...but it don't pay the bills.

If those levels are reallized.....a 1922 peace dollar should be worth about 25 to 30 dollars. Morgans a little more. Common dated Morgan silver dollars at 40 bucks a shot isn't that far off.

Wyatt

[Metalman]

Im going to make my answer fairly simple ,, your right and wrong ,, I have hedged both senarios for the future.

silver as silver for the intrinsic increase that is bound to happen.

numismatic coins for the adjustment afterwards based on mintage and rarity in todays market.



Metalman

[Wyatt Earp]

That sure makes me feel better about my Barber Half collection. That's my one real weakness where things of numismatic interest are concerned.

Wyatt