Impact of Soaring Gold and Silver Prices on Numismatics
As gold and silver prices reach record highs, collectors are seeing numismatic premiums shrink, with coins trading closer to their melt value than ever before.
In the past, when gold and silver prices surged, the numismatic value of coins was affected. For example, in September 1976, a BU $20 St Gaudens Double Eagle and $10 Liberty Eagle were purchased at prices more than double but less than triple their gold content's melt value.
When I sold those dates, they had previously had a slight numismatic premium when I purchased them, but they were just treated as bulk metal.
This experience suggests that even without rare numismatic pieces, high spot prices can reduce the numismatic premium of coins.
Author's summary: Soaring gold and silver prices affect numismatic coins.