A reduced pricing of the numismatic coins by the US Mint is expected sometime at the end of July 2010. A lowered price is linked to the recently lowered gold prices which will affect numismatic gold sales which include the Proof 2010 Gold Buffalo as well as on First Spouse coins with images of Sarah Polk, Jane Pierce, Margaret Taylor and Abigail Fillmore.
Brief Introduction on Policies
US Mint is now adopting the averaged London Fix as part of its new gold pricing measures. The pricing of the numismatic coins by the United States Mint covers minting, distribution and marketing costs. The new policy allows the Mint to change its prices every week based on average London Fix on the weekly Thursday AM Fix to Wednesday AM Fix.
But there was great criticism over the policy when it experienced a glitch towards the last few days in May 2010. After working out the glitch, the policy reflected a more accurate pricing when the Fix was agreed to be taken on the Wednesday afternoon fix with a weekly average. Upon reviewing the policy, financial experts conclude that a price drop is forthcoming.
Market Trends of Numismatic Coins
It was noted that the London Fix for gold prices on July 15-21 was at $1,193.42 based on the Thursday to Wednesday week AM fixes. It dropped towards $1,191.25on July 21 based on the Wednesday closing Fix. However, US rates were put between $1,200 and $1,249.99. Financial experts are bracing for a price drop that can go up to $50/oz.
With these offerings, the pricing of the Proof 2010 Gold Buffalo is expected to drop towards $1,460 from $1,510, with First Spouse coins following similarly to $741 from $766 for private coins whereas proof coins will see a price of $754 from $779.
Buying Numismatic Gold Coins
It is good news for gold investors with the reduced prices of numismatic gold coins by US Mint because gold prices are dependent on the market demand of gold and not on how the market is faring as with stocks and bonds. Even with a rising gold price, its demand is expected to be strong in the year 2010. There is also a good crowd of gold collectors and investors.
The release price of $1,510 for Proof 2010 Gold Buffalo saw 22,844 pieces sold since its introduction on 3 June 2010 until 18 July 2010. Its price has remained since its introductory offer. Its recent slight drop is a good time to buy this coin as an investment.
The Jane Pierce edition is the most current add on to the collection of First Spouse coins; it was introduced on 3 June 2010 for sale. It is seen to be a favorite with investors and coin collectors.
With gold prices continuing its upward trend, World Gold Council Investment and Research Manager, Juan Artigas is confident that gold prices will not be limited by other assets or by its historical track.
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