January 27, 2012

20:05. Andover resident thinks the City should pay employees and contractors with silver.

For some, American Silver Eagle dollar coins are a wise investment, as every $1 face-value silver coin is worth $35. Now Andover resident Bob Shapiro believes the town should use the coins to help pay interested employees and contractors.

He'll ask voters at April Town Meeting to allow the town to do so — saying it will help both workers and taxpayers.

"The federal tax code offers definite benefits to using silver dollars for transactions, rather than paper dollars, both for the town and for employees and contractors. This benefit might amount to a 4- to 5-percent increase in purchasing power value to employees and contractors who choose to receive a portion of payments in silver dollars," Shapiro wrote in an explanation. "The benefit to the town, given a 25 percent participation rate, might be approximately $1 million."

20:00. Counterfeit 10s and 20s found in Iowa cities.

19:57. How many kinds of Eagles?

Last fall the U.S. Mint drew the ire of thousands of coin collectors who were unable to obtain the 25th anniversary silver American Eagle set because the 100,000 mintage sold out in one day.

“We weren’t proud of that,” said Mint Director of public affairs Tom Jurkowsky.

Although deemed a sales success because the series sold out in one day, it was not one of the Mint’s better showings when it came to customer satisfaction.

“It’s a serious, serious problem,’ Jurkowsky said. “We know it. We’re taking it on the chin. Customers are frustrated and angry, and we are too.”

14:37. Q. David Bowers talks about the Franklin half dollars, including pieces dated 1947 and 1964. Follow the link to find out why those dates in the series are significant.

14:32. Everthing you wanted to know about the GLD gold ETF. Long but a good read.

Gold is enjoying an awesome January, rallying strongly out of its oversold late-December lows.  But last month’s hyper-pessimistic sentiment deserves some reflection before it totally fades from memory.  One of the core theses of the bears resolutely predicting sub-$1400 gold prices soon was the notion that there would be widespread liquidations in the flagship GLD gold ETF, a mass exodus of capital.

If it indeed came to pass, gold would almost certainly be considerably lower than we’ve seen in recent weeks.  But it didn’t, the stock traders owning GLD didn’t panic and rush for the exits as feared.  Instead they boldly stood their ground, continuing the long tradition of GLD shares being held in strong hands.  GLD’s entire history shows its owners largely want gold exposure for the long haul, they aren’t flighty.

Just as mass-GLD-liquidation fears captured mindshare in past gold corrections, they are certain to once again become popular bearish centerpieces in future ones.  So gold investors and speculators alike, whether they own GLD or not, need to understand this mighty ETF’s track record during gold corrections.  This critical knowledge will mitigate mass-exodus fears in future gold corrections, reducing the odds of getting suckered into selling low by the bears.

12:10. Good news! More U.S. commemorative coins proposed; Revolutionary war and 1812 battlefields, designed (once more) by committee:

As is often the case, coin designs are left broadly open to U.S. Mint artists. The bill’s language simply states they must be emblematic of the Revolutionary War and the War of 1812. Multiple coin designs would be created, reviewed by the Citizens Coinage Advisory Committee (CCAC) and then selected by the Treasury Secretary after consulting with the Commission of Fine Arts (CFA) and the Revolutionary War and the War of 1812 Battlefields Foundation.

12:06. Apple Inc. or gold? Or might they become the same thing?

Last year, Apple made headlines when its cash and marketable securities position of $73.8 billion surpassed the operating cash balance at the U.S. Treasury. The news magnified calls for Apple to deploy some of its idling cash hoard. At the time, analyst Katy Huberty from Morgan Stanley explained that Apple’s current and future cash flows “greatly exceed” its cash needs. After Apple’s most recent earnings report, the calls for deploying cash are increasing in volume. ...

The question then becomes, what should Apple do with its massive cash hoard? Conventional recommendations range from paying a dividend or buying back stock, to acquiring suppliers. While these are certainly worthy recommendations, it is hardly the unconventional thinking that has propelled Apple to the top of the podium. In addition to these recommendations, Apple should also consider purchasing gold. A relatively small gold position in Apple’s portfolio could help the company further offset currency and monetary policy risks to its $97.6 billion stockpile.

12:05. "I take my American preference for paper money with me". Dave Harper gets ready to go to the World Money Fair in Berlin.

10:20. Will Congress act? On coin bills that is.

Both Houses of Congress have more than 30 coin and paper currency measures before them and its just possible none of them will pass before the election recess in October.

Among the headline grabbing subjects, there are calls to halt production of the cent and nickel and the dollar, too – which would leave a dime and quarter to circulate and bear most of the cost of the Mint’s aging physical plant. Rep. Steve Rothman, D-N.J., has called instead for a steel alloy to be considered to lower the cost of the metal component in the lower-denomination coins.

10:13. Coin Rarities Online has posted the latest Road Report from the recent SBG Americana auction in New York:

Just back from our annual pilgrimage to the Stack’s (now Stack’s-Bowers, of course) Americana Sale, we are pleased to present this quick-hitting, no-holds-barred, profusely illustrated auction recap Part I for your reading pleasure.

And for those who are unfamiliar, this January auction is typically heavy in colonials and esoteric items, and this year was no exception, but at the same time exceptional, including several different consignments of mostly raw coppers and anchored by the SLT Collection, the decades long labor of love of beloved dealer, collector and friend Steve Tannenbaum ...

Perhaps the most accurate way to characterize the session overall would be ‘staggering’, since that describes both how your author was moving (after waking up wicked early to catch the morning train to New York, viewing lots all day long and then bidding until 12:30 AM), and many of the prices realized (as in they seemed really strong to me) in a well-attended session in which all of the usual suspects were present.

In an effort to present a balanced view, however, I should mention that some collectors and dealers thought prices on some of the rarest pieces were on the weak side, since different examples of the same varieties had sold for more (sometimes much more) in recent years.  In this thinly traded field, however, prices seem to be dictated more by ‘who needs it’ than by rarity ratings or the strength or weakness of the market.  Meaning that if two well-heeled collectors need a particular variety then it is sure to go the moon.  But if one of them already has it, the same coin might sell for 80% less.  I have heard similar assessments of other series as it relates to Registry and other buyers, so this phenomenon is certainly not unique to Connecticut Coppers or colonial coindom in general.

Read the whole article for details, along with excellent coin images.

06:20. Baldwin's to offer the Bentley Collection of British Sovereigns and Colonial Branch Mint gold sovereigns:

The collection began as a casual exploration into the possibility of owning gold in coin form during the late 1970s and developed into a full blown passion for these iconic pieces of history that went well beyond their metal value. The first purchase for this collection, a George V London Sovereign, dated 1913, was made in 1978 and from there began the quest to formulate one of the greatest collections assembled of the Milled Gold Sovereign. From the beginning the discerning collector had a pre-occupation for the modern sovereign and an eye only for the rarest and highest quality pieces. Although the origins of the sovereign date back to 1489 the Modern Gold Sovereign was introduced for currency in 1817 after the Coinage Act of 1816, during the reign of King George III (1760-1820).

(Clicking on the image opens a PDF file).

1819 Soverign. Baldwin's.

06:16. News you can use: if you don't know coins, know your dealer before you buy or sell.

06:10. Sub Sea Research has located "the worlds richest shipwreck"; a British freighter carrying 71 tons of platinum:

Sub Sea Research (SSR) spent months searching for the elusive ship, the Port Nicholson, torpedoed by German U-boat U87, June 1942. It took two torpedoes and about 7 hours to sink her. U-87 also fired at the troop ship the “Cherokee,” quickly sinking her with a heavy loss of lives.

The Port Nicholson, world's richest shipwreck. PRWeb.The Port Nicholson is a steel-hulled, 481 ft. merchant ship, coal fired freighter built in 1918 at the Tynes & Wear shipyard. She was carrying two special envoy USSR agents overseeing the delivery of a very important Lend-Lease payment from the USSR to USA. She along with 4 other commercial vessels were being escorted by an unusually high number of military ships. The normal ratio at the time was near 1:10 or less but this convoy ratio was 6:5. Maybe it was the fact they were delivering 1,707,000 oz. troy, in 400 oz. bars of platinum. Strangely the two USSR special envoy individuals quickly disappeared after being rescued and brought to American shores. They were not de-briefed like all the other survivors were.

SSR first discovered the Port Nicholson in 600-800 feet of water off Cape Cod in 2008. In 2009 SSR obtained legal recognition from the US Courts as the legal owner and salvager of the ship.

06:08. "Mint accused of making a mint from overpriced souvenir coins".

The Royal Mint is being accused of exploiting the general public with overpriced commemorative coins that have minimal investment value.

After 38 years as a Royal Mint agent, a leading numismatic dealer with 57 years in the business, is now refusing to trade in any more of its coins because he believes the market has been devalued by the vast numbers of issues and exorbitant prices.

Richard Lobel – the UK's biggest dealer in the secondary market for Royal Mint coins – condemns what he sees as the exploitation of people who pay up to four-figure sums for what they assume are valuable keepsakes.

06:05. More on the story of Canadian artist Gary Taxali, designer of six coins for the Royal Canadian Mint:

He’s been deemed the “poster-boy” of the Canadian art world. He’s won a Grammy nomination, appeared on the cover of Newsweek, and has clients as diverse as Rolling Stone, GQ, Esquire, Warner Brothers, Sony, and The New York Times. ...

Taxali’s works generally go for $10,000, and upwards. But you can now acquire a piece of his art — as gifts on the occasion of a birthday or wedding, a baby shower, welcoming the Tooth Fairy, or celebrating our Canadian heritage and values — at a far more affordable $19.95 each.He’s even got a solo show coming up with famed gallerist Steve Lazarides in London, UK, this May.

January 26, 2012

21:45. Peace, dollars and Peace dollars, an article on the history of the U.S. silver Peace dollars, from Pinnacle Rarities:

World War I was called "The War to End All Wars." The sad irony is that it was arguably the war to begin all wars - at least for the modern era. A couple generations (or more) removed, it's hard for us to get inside the average man's head from 1921. But the horrors of that war included the use of nerve gas and mass genocide for the achievement of military goals.

Pinnacle Rarites.

The resulting carnage statistics are estimated at over fifteen million civilian and military deaths. With that in mind, it's easier to understand the sentiment for peace was overwhelming, and from this passion the Peace dollar was born. ...

The cost of the war was paid in silver from melted silver dollars. As our currency at the time was backed by silver dollars in the treasury vaults, the result of this debt was a recall on circulating silver certificates. Dollar production had been on hiatus since 1904, but the Pittman Act of 1918 ordered over 270,000,000 silver dollars to be coined to relieve this debt and replenish the Treasury's coffers.

The U.S. was going through a recessionary cycle and the Pittman Act went a long way to helping the economy recover. While authorization of the coinage of silver dollars passed in 1918, it wasn't until three years later that the Peace dollar design was implemented. ...

The idea behind the new dollar design was a commemorative example to serve as a reminder of the atrocities from the war and the value of peace. The path to the enactment of the design was as turbulent as the road to peace itself.

Read the whole article.

21:16. There are two types of gold: that which I have, and that which I don't. Or this.

21:07. Libya banknote news:

A new 10-dinar note-

Libya 10-dinar banknote. Banknote News.

Banks in Libya are withdrawing 50-dinar banknotes with Muammar Gaddifi's portrait-

Libya Muammar Gaddafi 50-dinar banknote. Banknote News.

20:26. A red flag for the gold bulls: Iran's currency collapse causes gold prices to 'soar'.

20:22. For some, perhaps, an overlooked collecting idea: National Bank notes of the hometown locale.

20:21. Swaziland, South Africa to make changes to that nation's coinage, including a possible elimination of the 5-cent coin.

19:43. The New Zealand Mint has updated their website:

The New Zealand Mint website.

19:29. Teaser from David Lawrence Rare Coins (DLRC): "Breaking news… DLRC acquires one of the top PCGS Registry collections in a MAJOR series…stay tuned".

19:21. "Coins that I never see with good eye appeal, Part 2: quarter eagles" by Doug Winter, Rare Gold Coins:

Note that I said “good eye appeal.” This doesn’t mean that I’m focusing on the rarest dates in the series. Obviously, issues like the 1841 and the 1854-S are very rare in all grades and rarer still with good eye appeal. But that’s not my emphasis here. Rather, I am interested in coins that while scarce or even rare based on their overall availability, are especially rare with choice, original surfaces.

As a rule, most pre-Classic Head quarter eagles are scarce to rare in all grades and harder still to find with good eye appeal. One issue that comes to mind as a coin that is just about never seen with good eye appeal is the 1796 With Stars. As you would suppose from a coin with just 432 struck, it is a rarity in all grades. But what most people do not realize is that nearly all surivors are either unoriginal and unappealing or they show multiple planchet imperfections as on many other of the gold issues produced during this year.

19:04. The Central Bank of Laos is issuing new 100000-kip banknotes to encourage the use of national currency rather than U.S. dollars.

19:02. Masterpiece Investment Corporation, described as 'a leader in the fine art marketplace', has added a Bullion Division:

The new division will, for the first time, enable collectors to own art from the celebrated and renowned sculptor and painter, Lorenzo Ghiglieri, in the form of pure silver. To commemorate the company’s initial offering, early investors will be given rebate certificates with entitlement to monthly rebates based on profits earned, up to 100% of the purchase price.

“As with any new business venture, in order to be truly successful it’s important to be first and different. This is especially true in the bullion industry,” said Mark Ghiglieri, CEO and founder of Masterpiece Investments. “We want to provide our clients with a valuable investment while introducing them to the world of fine art.”

15:30. The 1970-S half dollar shall rise, again, maybe.

15:27. Affordability and income affect coin collecting habits. Who knew?

Lately, middle class collectors have greatly curtailed the way they collect. This is because of reduced, or even the loss of, incomes and the fear of losing incomes in the near future, as well as paying down debts. ...

On the other end of the spectrum, on the level of the wealthy, coin collecting has been expanding during recent years. Again, the profit motive is a great driver of this segment of the market, but as the wealthy investor of today has become more interested in collecting coins for profit, this end has actually brought many wealthy investors to the point of enjoyment in collecting.

13:50. Two dollar bills, coffee, and the Second Amendment, on Valentine's Day.

13:20. An analysis of recent U.S. Mint sales:

Throw out the debuting 2012 America the Beautiful Quarters Proof Set from the latest United States Mint weekly sales figures and there are only a few interesting items of note left.

Numismatic (and bullion) product sales are significantly slower in this round. Specifically, 29 U.S. Mint products improved over their prior weekly sales versus the 48 out-performers noted in the previous sales report. Two-dozen of the overachievers were lower priced products. In the $50+ category of mint offerings, only a handful of week-over-week gains were realized. Those included the 2011-W Proof Platinum Eagle and four First Spouse Gold Coins.

13:20. Trying to define what coin doctoring is, and not succeeding:

A revised draft on “coin doctoring” submitted to the Professional Numismatists Guild by a select committee tasked to author an updated definition, failed to gain the approval of the PNG’s membership at a meeting held in January at the Florida United Numismatists convention in Orlando. …

In response to a Coin World query about the January proceedings, PNG President Jeffrey Bernberg said in an email, “The 17 member committee, after hundreds of hours of work, came to the conclusion that it had become impossible to delineate each and every thing that could be done to coins and be considered ‘doctoring’. Rather [than] listing what is [permissible] to do to coins, it is their intention to limit what cannot be done and basically go after intent, which covers all types of fraudulent alterations. It is the committee’s expectation to get back to the PNG board within the next 30 days. Additionally, there is some ‘new blood’ that has been asked to join the committee and one member has resigned.”

11:09. ANA Money Museum thief went to Australia to see the coins he stole auctioned:

Four months after leaving his post March 21, 2007, as curator at the American Numismatics Association’s Edward C. Rochette Money Museum in Colorado Springs, Colo., Wyatt E. Yeager traveled to Melbourne, Australia, to attend a public auction of coins he has since admitted he stole from the ANA museum.

During Yeager’s plea hearing Jan. 12 in Federal District Court in Wilmington, Del., Assistant U.S. Attorney David L. Hall told presiding Judge Leonard A. Stark: “The American Numismatic Association contacted Mr. Noble of Noble Numismatics, and Mr. Noble confirmed that Mr. Yeager had been present in Australia for that auction, and that they had sold the coins, the coins that were missing from the ANA, at auction.”

11:06. This Month in Currency News from Heritage, highlighting a $100 'Watermelon' banknote to be offered at Long Beach:

The February Long Beach Heritage Signature Auction will include a special fifty lot Signature Currency Auction. Among the notes being offered is one of the most highly prized examples of U.S. paper money, a $100 Watermelon note. The manner in which the number 100 on the back of the $100 1890 Treasury notes and the number 1000 on the back of the $1000 were designed resembles the outside rind of a watermelon, leading to their nickname. The design earned the number eighteen spot on the list of the 100 Greatest American Currency Notes and would likely have taken a higher place if not for the $1000 denomination, which ranked at the very top of the list.

U.S. $100 Watermelon banknote. Heritage Auctions.

06:30. More items are discovered missing from the ANA's Money Museum:

At least 23 additional coins and patterns, a 73-pound silver bar and five gold nuggets are missing from the American Numismatic Association’s Edward C. Rochette Money Museum in Colorado Springs, Colo.

According to ANA officials, the estimated market value in 2008, based on records and images of the missing items, was $420,590.

ANA President Tom Hallenbeck said Jan. 19 that law enforcement and ANA officials had been aware of the additional missing items Jan. 12, but chose not to disclose the information at the time in order to avoid confusion.

“We did not disclose the list initially because we were focusing on items Wyatt Yeager had admitted stealing,” Hallenbeck explained.

1792 half disme, missing from the ANA Museum. Coin World.

06:25. Gold type coin prices rebound as gold bullion trends upward.

06:15. Fighting crime in the numismatic world:

I am not sure how much altruism is going on in the numismatic marketplace, but a candidate for the description could be Doug Davis, who conducts the Numismatic Crime Information Center and who has done a lot for the hobby in recent years.

While the likelihood of having your coins, paper money, tokens or medals stolen is small, it does happen, and Doug offers help.

Set up as a nonprofit corporation, NCIC’s mission is to serve as “a national and international resource for the education, prevention and investigation of crimes involving coins, paper money, tokens, and related numismatic items.” Its operations include assisting law enforcement agencies during investigations, maintaining a database of numismatic crimes, hosting www.numismaticcrimes.org with current news and downloadable resources, email alerts of crimes and monthly newsletters, and service as an advocate for numismatic crime victims.

06:12. Greg Reynolds discusses the Bust half dollars offered at the recent FUN acutions in Florida.

06:10. The Government Museum Egmore India has acquired an Augustus Humbert gold coin.

06:05. James Bucki, About.com coin guide, tells and shows how to grade Buffalo nickels.

06:02. The Central Bank of Irleland has issued a special edition coin honoring Jack B. Yeats, the first Irish person to win an Olympic medal.

January 25, 2012

23:00. The most valuable gold vault in the world- the Federal Reserve Bank of New York.

22:40. Songwriter writes song to protest the end of the U.S. dollar coin program, sort of.

22:37. South Dakota House panel kills a bill that would have taxed coins and currency.

The owner of a rare coin shop in Rapid City said he's relieved a South Dakota House Committee has killed a bill that would apply a sales tax to coins, currency and bullion.

"It would put me out of business,'' said Louis Anagnostopulos while testifying against a House bill that would levy a 6 percent tax rate on sales of coins and metals at Thursday's hearing of the Taxation Committee.

22:32. The ANA Money Museum now has a 1792 half disme:

The Edward C. Rochette Money Museum collection now contains a 1792 Half Disme, thanks to the generosity of a California coin dealer.

The early American coin, valued at more than $220,000, was donated by Steven L. Contursi, president of Rare Coin Wholesalers of Irvine, Calif.

“This coin will be a fantastic, historically significant addition to the museum’s collection. I can’t thank Steve enough for his generosity,” American Numismatic Association President Tom Hallenbeck said.

1792 half disme. ANA.

22:30. A backwash in the march toward digital: Social Security to resume paper statements for those 60 and over.

14:40. Another Roman brothel token find? Actually, it may be the first.

When amateur archaeologist Bob Dix unearthed what purported to be a Roman treasure, he thought it was pretty special – but he was not quite too sure why. Until now.

When his son gave him a metal detector for his birthday, he spent two days scouring his garden in Pylle.

Among several things he dug up was what seemed to be a risqué and raunchy Roman remnant. The pendant-style piece of jewellery clearly shows a man and woman engaged in an intimate sex act.

Mr Dix thought it was a bit strange but pretty special and tucked it away in a box for safe keeping.

To his surprise, he read about the story of a similar find in a national newspaper this month. Excited experts claim that the bronze Roman coin which recently washed up on the banks of the Thames is the first example of a Roman brothel token ever found in this country. Now Mr Dix, whose find has a similar design to the one found by a London pastry chef, has called in the experts too. And he maintains the discovery in his garden was actually the first.

14:36. Would a new Gold Commission lead to higher gold prices and lead to confiscation? It depends.

With trust in governments dropping to a new low according to some polls, the words of President Hoover come to mind,

"We have gold because we cannot trust governments!"

And why should they trust governments, when they look at a residual value of the dollar at 15% of its value since the U.S. left the link to gold?

It's this depreciation that is becoming more and more important. The importance of the issue has risen in line with the globalization of the dollar, particularly now that the U.S. is utterly dependent on the investment of foreign dollar surpluses being reinvested back into the dollar and U.S. Treasuries. Unless this is properly and effectively handled in time, there will be a day when foreign investors say that enough is enough.

14:34. News you can use: rare coin prices follow gold prices:

Rare coins on average have followed the gold averages and not the equities markets. Silver has had a similar performance, although it was not up year over year in 2011.

14:30. Reading the tea leaves; or to be more appropriately, gold leaves: "A Swiss signal to buy gold".

10:15. "Fakes are on their way"; fake coins, that is, to Proxibid:

Coin World is reporting that eBay no longer will allow on its site replica US and world coins of any kind, with violators risking their selling privileges being suspended for any infraction. Pictured here is a counterfeit coin purchased on the Proxibid portal. We secured an immediate refund when explaining the illegality of selling counterfeits.

The new eBay policy even bans coins marked as “copy” in keeping with the Hobby Protection Act.

We applaud eBay for this policy.

The world’s largest online auction portal made the move to showcase the company’s commitment to improve the buying, selling and collecting experience on eBay, Coin World reported in an exclusive story.

Get ready, Proxibid coin auctioneers. Be prepared, Proxibid. You’ll be targeted next as you are becoming the portal of choice for the selling of coins and currency.

10:10. Irishman builds home from €1.4 billion ($1.8bn) in decommisioned banknotes.

10:08. Texas coin 'dealer' get 5-year prison sentence for $600k scam.

06:41. Numismatic Guaranty Corporation has a new locator for NGC Authorized dealers:

Now you can search for NGC Authorized Dealers by location, specialties, and services offered. You’ll find dealers who specialize in Morgan dollars, will assist you with submissions to NGC, help build Registry sets, and more! If a dealer has a storefront, click on "Get Directions" to see a map to their location. If a dealer is also a PMG Authorized Dealer, the PMG logo will appear next to their name.

06:40. A new 40-taka commemorative banknote from Bangladesh has been confirmed.

Bangladesh 40-taka commemorative banknote. Banknote News.

06:35. The Gold and Silver Political Action Committee is working to stop counterfeit coin sales:

GSPAC is a political action committee founded in late 2010 to support national political candidates who support issues, legislation and regulations important to the ownership, marketing, and sales of collectible coins, paper money and precious metals.

In a Jan. 16 telephone interview with Coin World, Diehl said GSPAC’s efforts to combat the Chinese counterfeits have attracted the attention of the Criminal Investigation Division of the United States Secret Service and eBay, the online auction conduit through which many of the Chinese counterfeits have been offered for sale largely unmolested for several years.

Diehl said that after several years of no progress in the numismatic war against Chinese counterfeits and the aggressive enforcement of the Hobby Protection Act, the Secret Service began communicating with the numismatic industry and eBay following several meetings in 2011 between GSPAC board members; collector, lobbyist and former Rep. Jimmy Hayes of Louisiana; and Rep. Lamar Smith, chairman of the House Judiciary Committee, from Texas.

06:30. Reached that point in coin collecting when you have the finest known, the highest grades, the rarest, and are getting bored? Yeah, me neither, but for those who do, Whitman presents the Milestones Coins challenge:

Kenneth Bressett (who most collectors know as the longtime editor of the Red Book, and award-winning author of numerous hobby books and articles) has written a unique book titled Milestone Coins: A Pageant of the World’s Most Significant and Popular Money. It’s an engaging volume, covering more than 100 coins, tokens, and other metal objects (like the “knife money” and silver “shoes” of China) that people have used as currency. Bressett tells the stories of these remarkable collectibles, going back to ancient Ionia and following them across centuries and continents to modern-day America.

“Herein are my observations on what I view as some of the hobby’s most popular coins,” writes Bressett in the preface. “They have proven to be favorites as long as they have been around. Among them, you are sure to find some of the pieces that you are particularly fond of as your personal top picks. Others may be new to you. I invite you to explore them all, and to broaden your total enjoyment of numismatics by expanding your awareness.”

The Milestone Coins Challenge is this: to take Ken Bressett up on his invitation, to build a collection of each of the 110 coins whose stories are told in this entertaining book.

Every coin in Milestone Coins is collectible— although some are very challenging to find in the marketplace, and will require a lot of hunting! Chances are you already own some of these milestone pieces. Chapter 10, “Money in America,” includes such popular coins as the Indian Head cent, the Morgan silver dollar, and commemorative half dollars. Chapter 9 (“Emerging Concepts in Coinage and Money”) includes British Conder tokens and the Maria Theresa thaler of Austria.

06:26. Authorities in Saginaw Township Michigan are warning the public that 'make it legal' silver bars promoting marijuana legalization are just silver painted, not real silver.

06:23. Bears and bubbles in the bullion market? If so, this writer believes platinum is a 'win-win':

Beyond the automobile market, there is significant demand for platinum and platinum group metals in fuel cells, LCD displays, pacemakers, cancer treatment drugs…the list, detailed on Johnson Matthey, is practically endless. In point of fact, demand for industrial uses other than autos rose 30% in 2010. Just as diversification of risk in a stock portfolio is desirable, diversity in demand is desirable in a commodity. Reductions in one area can be offset or shorn up increases in others.

06:21. Paper Money Guaranty now displays current turnaround times on their Services and Submissions chart, on both Collectors and Dealers pages.

January 24, 2012

21:48. Tired of collecting the same old boring coins? Perhaps you should consider one of these: the Holstein - Friesian Association of America Superior Merit Award; a medal:

A Superior Merit Award medal. The E-Sylum

20:30. PMG graded banknotes set record prices:

Rare notes graded by Paper Money Guaranty (PMG) were recently sold by Sergio Sanchez of Sergio Sanchez Currency and Coins for an undisclosed amount in the seven figure range. Sergio Sanchez, Jr, president of Sergio Sanchez Currency and Coins, Miami, Florida announced the private sale of two of the rarest and most desirable items in US Currency. In a transaction where he represented both the buyer and seller, an 1869 $500 Legal Tender note (Fr. 184 – only 4 known, per Friedberg) graded 53 EPQ by PMG and $1000 Legal Tender note (Fr. 186-f – only 2 known, per Friedberg) graded 53 by PMG were sold for an undisclosed amount. Both notes are pedigreed to Grinnell, Friedberg, and Amon Carter. All parties involved in the transaction wish to remain anonymous.

U.S. rare legal tender notes (contrast enhanced). PMG.

20:24. News you can use: coin collecting fun and profit not always the same.

20:22. 'Don't rule out silver', though most of the article is about gold.

17:45. The UK Royal Mint's new coins are 'green' in more than one way:

The UK's Royal Mint is to introduce new copper and nickel alloy-free coins in a move to save on cash and carbon.

The country's new-look five and 10p coins are to be made from steel with a nickel plating in a move designed to save the Treasury around £8 million a year.

But the cost-saving measure has also inadvertently helped the environment by using a less resource scarce metal mix.

Steel, as well as being a fraction of the cost of copper and nickel, is created from iron ore, which is more abundant and far easier to mine. Iron is also found closer to steel mills – reducing the financial and carbon cost of its production.

17:00. The Rare Coin Road Warrior, aka Vic Bozarth, 'follows the money':

One of the sayings you hear on some of the TV crime dramas is ‘follow the money’. Frankly, the coin business is somewhat similar, but not in a criminal way. The biggest concentration of coins is in the Northeast because that is where most of the population is centered along with most of the money. California is also a great place to look for coins for the same two reasons: population and money. There are great coins in other parts of the continental United States, but the middle of the country is ‘spotty’. There are exceptions like Chicago and the big cities in Texas.

The Midwest, Southeast, Northwest, and Rocky Mountain states have great collectors and great coins, but the population and MONEY- there’s that word again- are just not in the same concentration as in the more densely populated areas. Because my goal is to try and see as many of the highest grade rare coins possible, I most often travel to the biggest shows and bigger cities. Bigger doesn’t always mean better, but the odds are that I will find more nice high grade rare coins in bigger cities.

16:53. How coins are priced, part 2:

Understanding how coins or any numismatic item is priced cannot be complete without the final transaction between the current owner of a coin to a new owner. The current owner could be a dealer, auction house, or another collector that is looking to sell a coin. Each seller has different motivations for selling and different factors goes into the final price that you might pay when buying that coin.

16:52. Coin production at the U.S. Mint fell by 40% from November to December, 2011.

16:17. A tradition of $2 bills and Clemson football.

An orange tiger paw on a $2 bill. PMG.

16:04. The reserve bank of India will investigate reports of illegally minted small denomination coins:

Perturbed by reports of illegally-minted small denomination coins being used in certain parts of the city, the Reserve Bank of India Tuesday promised to get to the bottom of the case.

"I have gone through the reports. These are newspaper reports indicating its use in some areas. We have to verify it. I have asked the RBI's Mumbai office to get details of it," RBI Governor D. Subbarao told media persons here while unveiling the third quarter review of monetary policy.

He said that the RBI Mumbai Office has been instructed to investigate the issue and if required, initiate appropriate action in the matter.

15:55. The Cultural Property Advisory Committee is considering renewal of U.S. import restrictions on Cypriot coins.

Representing coin collectors and the numismatic trade were Wayne Sayles, (Ancient Coin Collectors Guild); Peter K. Tompa (International Association of Professional Numismatists and Professional Numismatists Guild) and Eloise Ullmann (Industry Council for Tangible Assets).

Wayne Sayles stressed that if import restrictions are to be imposed, then all stakeholders including government agencies must follow the law. This follows on his public submission for ACCG . ...

Arguing for the continuation of import restrictions on coins were Carmen Biucchi (Harvard), who claimed she was not against collectors, although fully understanding what such restrictions entail; Jane Evans (Temple), who claimed that coins were necessary to date sites, and Nathan Elkins (Baylor), who did reveal that as many as 20% of ancient Cypriot coins are actually found outside of that country. A number of people have suggested that this number might even be larger as Elkins figures only included coins from hoards outside of Cyprus and did not include foreign individual finds.

Wayne Sayles has a related article here.

15:45. 19th century coin rarities anchor Heritage's Long Beach Auctions (a video of highlights is here):

A variety of 19th century rarities – from an 1808 quarter eagle to an 1839-O branch mint proof half dollar and an historic 1860 Mormon five dollar coin – highlight Heritage Auctions’ Feb. 2-5, 2012 Long Beach U.S. Coins Signature® Auction.

The Heritage Long Beach event also features a Currency Signature® Auction, on Feb. 3, with a beautiful and valuable Fr. 1219e $1000 1907 Gold Certificate PMG Choice Uncirculated 64 and an exceptional Fr. 168 $100 1869 Legal Tender PCGS Extremely Fine 45 leading the offerings.

“The year is off to a terrific start,” said Greg Rohan, President of Heritage. “With this Long Beach auction – the first of our three 2012 U.S. Coin auctions in conjunction with the famous Long Beach Expo – we’ll continue on with considerable momentum.”

1839-O proof half dollar. Heritage Auctions

10:22. The Hobby Corner: a numismatic bookstore in India that also sells some coins:

Across the fountain on the main road of Chandni Chowk, a narrow stone staircase leads one to an old and tiny shop on the first floor of the building, adjacent to the Bhai Mati Das Sati Das Sikh Museum. The shop, simply named Hobby Corner, is meant for those who treat collecting coins as more than a hobby. For, there are thousands of books on numismatics and related areas stacked inside the small shop, making it perhaps the only bookstore of its kind in the city.

10:18. About that need for new/more coins ...

Although Facebook Credits is still primarily an in-game currency, in 2011 we began to see a glimmer of what Credits will look like when it grows up.

Movie studios like Miramax, Warner Bros. and Paramount Pictures, not to mention BBC Worldwide began offerings movies and TV shows for rent on Facebook. As an example, in promotion of “Mission: Impossible, Ghost Protocol,” the series’ first three movies were made available for rent on Facebook for 30 Credits per rental. In addition, to promote the launch of “Tower Heist,” Universal Pictures gave away 1 million Facebook Credits ($100,000 value) in an online scavenger hunt. DJ David Guetta began selling MP3s on his Facebook Page (19 Credits per track) and U.K.’s “Big Brother” and “The X Factor” began allowing fans to vote for contestants using Facebook Credits.

10:13. Options other than bullion for investing in gold.

06:21. Knoxville TN city ordinance threatens coin dealer profitability:

Coin dealer Bill Kitts is all for catching burglars and thieves who steal property, but he's also concerned about keeping his doors open.

A Knoxville city ordinance passed in November that is set to take effect April 1 worries Kitts because it requires that he hold gold coins he buys for 30 days, significantly longer than the seven days required now. The gold market, however, fluctuates so much that dealers could end up taking losses under the new ordinance, he said.

"We work on such smaller percentages. I thought seven days was too long because coins are a commodity, and I'd like to sell it when I buy it," said Kitts, who owns West Side Coins, 7004 Kingston Pike.

Harold Kline, owner of Wishing Well Jewelers, 2834 E. Magnolia Ave., said he is willing to work with the city.

But we can't compromise to the point where we can't do business," he said. "When gold dropped $300 from $1,800 to $1,500 in two weeks, look how much money people lost," he said.

06:16. HMS Victory to be raised by Odyssey Marine:

The predecessor of Nelson’s famous flagship went down in a storm off the Channel Islands in 1744. 

Along with a bronze cannon collection, it was believed to be carrying gold coins from Lisbon to Britain, which would now be worth £500million. 

The bulk of any treasure will go to US salvage firm, Odyssey Marine Exploration, which found the wreck in 2008.

06:15. The U.S. Mint has surveyed some of its customers regarding possible new collectible coins.

Few things get coin collectors, especially those who collect modern U.S. coins, more excited than the possibility of new coins, especially limited edition coin series.

So it is hardly surprising that collectors are thrilled by the prospect that the Mint may issue several new coins and series this year and in the coming years, including new lines of collectible American silver eagles.

06:14. Gold's six-week high prompts selling, and a decline.

Gold declined for the first time in three days in London as a rally to a six-week high spurred some investors to sell the metal amid lower demand from Asia.

Bullion reached $1,681.50 an ounce yesterday, the most since Dec. 12, amid concern about Europe’s debt crisis and as the European Union agreed a ban on imports of oil from Iran as part of measures to increase the pressure on its nuclear program. Financial markets in Asian countries including China and South Korea were shut today for the Lunar New Year holiday.

06:12. Support for much higher gold price; but beware the windfall tax:

That governments will want - and will NEED - much, much higher gold and silver prices in the future is counter intuitive, given that they have done everything within their power ‘til now to throttle back and to keep a lid on bullion prices. Let me explain why.

Although we have seen eleven consecutive years of gold bullion price rises, such increases have been incremental, measured and at levels which make the remainder of the commodities and equities markets look volatile.  Governments have used their preferred bullion banks as agents in the paper futures markets and their central banks, in conjunction with their respective Treasury bureaucracies, to limit the inexorable rise in precious metals prices as much as possible to keep gold - the only ‘real money' - from drawing unfavorable attention to their own failing fiat currencies and uncontrolled sovereign debt.

06:11. "They are horrid and useless. Why do pennies persist?".

January 23, 2012

20:45. Several new numismatic books noted in the latest issue of the E-Sylum:

• The Rosa Americana Coinage of William Wood
• The Authoritative Reference on Franklin Half Dollars
• Holey Dollars of Prince Edward Island

20:34. Circulating coinage of '12; that is, Roman coinage, A.D. 12:

The coinage of Rome in A.D. 12 had mostly assumed a form that would last, with some modifications, for roughly the next three hundred years. The basic silver unit was the denarius, equal to four brass sestertii.

A Roman denarius. NGC.

20:31. The Butternut Company has compiled a list of the best secured coin shows in 2011:

Ellsworth said he attended 46 coin shows during 2011 where he paid particular attention and evaluated the various types of security that are provided to both dealers and the public. In addition, he received numerous reports from across the nation from coin dealers, collectors and crime-incident reports from the media and law enforcement sources.

“This last year we had a murder, several home invasions, numerous road-side robberies and numerous show-event thefts,” he said. “We had several armed robberies and assaults that resulted in several shootings,” he added.

He pointed out that during 2011, there was an escalation in the number of crimes affecting numismatics. Many were due to dealer/collector lapses, or lack of their own security procedures.

“The level of violence and brazenness of criminals continues to escalate,” Ellsworth stated.

18:07. In line with other product reductions, U.S. Mint 2012 ATB quarter roll prices have dropped.

18:04. Selling your coins, part 3, from Whitman publishing: dealers, public auction, online.

18:00. The U.S. Mint will expand the silver Eagle product offerings for 2012:

The United States Mint plans to expand the number of numismatic product offerings for the American Silver Eagle in 2012. This will include an uncirculated version of the coin struck at the San Francisco Mint and potentially two other collector coins only available within a special set.

14:30. Dubai trader thinks silver will be near $60 by September.

14:25. Mr./Ms. collector, take down those walls:

I had a call from someone in northern Michigan who had a piece that he wanted identified. If I understood his description correctly, what he has is a reproduction of an early American piece.  The books call the original unique.

Of course, he wanted to know if it is genuine. Even though the odds were very high that it is a reproduction, he wanted confirmation of what it is, because he said it had been passed down from his grandfather. …

I suggested having his local dealer take a look at. He said he is too isolated.

He could send it into a grading service. He didn’t want to spend the money.

I said perhaps he could swing by a local show in his area the next time one is held.

That didn’t satisfy him.

I said individuals can perform tests like weighing it and doing a specific gravity if it came to that, but that was beyond him.

He basically shut the door on every avenue that is open to him.

12:30. Reform the coinage system, a petition.

A not-unreasonable proposal, but a one-dollar coin is too close to the value of the fifty-cent coin. Make it a two-dollar coin instead (can’t buy much from vending machines for $1 anyway); or to stretch a bit, a three-dollar coin. It’s been awhile since we in the U.S. have had one of those. Top it off with a circulating legal tender bullion coin, with a value 15% higher than the metal content, adjusted daily. We could then see how committed the hard money advocates really are, as well as the rest of the citizenry.

Read the White House response as well.

We believe that it would be in our economy's best interest to form a new coinage standard. This standard would consist of three coins. a ten-cent coin, a fifty-cent coin, and a one dollar coin. This standard would open up new efficiencies in both everyday economic life, and in government spending.

According to the US Mint, in 2010 a single one-cent coin cost 1.79 cents to produce and distribute. Minting 3,487 million pennies in 2010 cost the US taxpayer $27.5 million in order to subsidize the existence of the penny.

There is a similar situation with nickels. A single five-cent coin cost 9.16 cents to produce and distribute in 2010.

We waste valuable time handling coins that aren't worth much. Getting rid of these coins could save us up to $1 billion annually in lost opportunity costs.

11:50. The story that won’t die, again.

The gold standard, however, is not without problems. Gold is an artificial yardstick, and the actual total amounts of gold worldwide are small and thus subject to manipulation. The Spanish discovery of vast amounts of gold in the New World after Columbus caused rampant inflation in Spain. Conversely, long periods without new discoveries of gold (such as the mid-to-late 1800s) caused deflation, bringing inordinate hardship to the American farmers of the time.

11:45. “On the other hand, it will pave a way for underwater transactions”; an irreverent (and slightly crude) look at Canada’s new plastic banknotes.

10:18. A back-to-basics collecting approach to U.S. coins:

Some coins historically have been considered classic key coins, and acquiring these relatively expensive coins signals a purchaser’s commitment to collecting.

Key coins in collector-friendly circulated grades have historically been among the strongest stores of value in numismatics. A look at their prices over the past decade shows a trend: that quality collector coins increase in price over time.

06:25. Coin Collectors Blog has a followup on the recent decision by eBay to ban replica coins, described as a "heavy handed act":

First, the wording of the press release was confusing. After mentioning that eBay will ban all replica coin listings, the press releases from eBay and PNG said that the “This policy decision will help ensure compliance with applicable laws (the Hobby Protection Act) that require replica coins to be permanently marked with the word ‘COPY.’” It suggests that coins marked as “COPY” would be allowed. However, an in an email from Johnna Hoff, Media Relations from eBay, all replica coins are being banned. “Because of the nature of our marketplace - specifically that we don’t control the inventory - we’re not able to confirm before purchase that a coin is truly stamped. Customer feedback told us that often coins shown in pictures as stamped weren't delivered that way.”

06:10. Coin World News highlights an Austrian Mint Rome on the Danube silver 20-euro coin, the third in the series.

Rome on the Danube coin. Coin World News.

06:08. The Reserve Bank of New Zealand is offering a limited number of sets of 2007 and 2008 banknotes with matching serials numbers. Details here from Banknote News.

Reserve Bank of New Zealand banknote sets. Banknote News.

06:05. The story that won't die: the how, when, and why of gold confiscation by governments.

06:00 Stack's Americana sale highlights a Discovery and Return of Columbus medal:

“Columbiana” is the name given to the marvelous variety of medals created for the 1892-1893 World’s Columbian Exposition in Chicago. This great world’s fair hailed the 400^th anniversary of Columbus’ discovery of the New World and gave its city the nickname “the Windy City” by the enthusiasm of its boosters. Its dazzling array of medals was cataloged by the late Chicago collector Nathan Eglit, whose somewhat disjointed listing is the source of the Eglit numbers still in use long after his paperback went out of print in the 1960s. ...

Some medals were “both inexpensive AND cheap,” but others were of dazzling quality, among them the 70 millimeter, 9.9 troy ounce Discovery and Return of Columbus Medal by Spanish artist Bartolomé Maura y Montaner. With exquisite accuracy, the medal showed Columbus on the deck of one of his three ships, cheering on his exhausted crew just before his landfall on San Salvador. The reverse shows the great Navigator approaching the thrones of King Ferdinand and Queen Isabel at their court of Granada, his Arawak Indian guests following holding a large parrot. All legends are in a Gothic lettering for really archaic effect.

January 22, 2012

21:13. The 'designer gold' ingots from Dillon gage (first noted in the January 15 News on MetaCoin) have not impressed everyone:

According to a couple of press accounts, Gaultier, through his distributor, Dillon Gage Metals, appears to have commanded a 10 percent premium along with a $25 handling fee for his version of a “hedge against inflation.” After my initial gut reaction (my mumblings included the words “rip-off” and “ridiculous”), I thought perhaps a case could be made for the bars, but I’d say they make little to no sense for several reasons.

21:09. The ANA is inviting young numismatists to join David R. Cervin's Ancient Coin Project:

Named in honor of the project's founder and 25-year coordinator, it provides a way for young collectors to earn a series of quality ancient coins by writing articles or school reports, doing a presentation for school or Scouts, exhibiting, or doing other interesting (and fun!) projects. The Ancient Coin Project Form outlines the method for earning coins. You do not have to know anything about ancient history or do your projects on ancient coins.

21:05. Mumbai traders mint coins because of shortages:

Fed up by the constant shortage and increasing black-marketing of coins, wholesale traders in South Mumbai have minted their own coins and are using them as currency. So far 50,000 coins of Re1 and Rs2 denominations have been minted and are being distributed in the wholesale markets in Bhendi Bazaar and Masjid Bunder.

The coins, made by the Mandvi-Koliwad association, were put in circulation in the first week of January. “A metal cast was made for one rupee and two rupee coins. Coins worth Rs50,000 have been made in the first batch; more will be made depending on the response,” said Dinesh Shah, a grocery store owner and member of the association.

17:07. Should gold be worth $2,000 per ounce in 2012? Absolutely not.

17:04. The Royal Canadian Mint is offering a 2012 Fine Silver Proof Set:

The Royal Canadian Mint’s annually released traditional Proof Set is a perennial favourite and as a first, we are pleased to introduce this all new fine silver edition. Whether you’re adding the prestigious 2012 Fine Silver Proof Set to your existing collection or starting a new tradition, it’s an exquisite 8-coin set that preserves our shared history, as well as the seeds of Canadian unity and identity. 

2012 silver proof set. Royal Canadian Mint.

15:12. Conclusion of U.S. Mint sales of the 2011-D uncirculated Army half dollar seems to have spiked prices on the secondary market.

15:10. A new Mongolia 500-tögrög banknote dated 2011 has been reported.

15:06. A collection of Celtic Coins offered in Dix Noonan's Dec 07 auction brings over $166k:

The highlight from the Matthew Rich Collection of Celtic Coins, which offered 182 coins from Celtic Britain, was the circa late first century B.C. to late first century A.D. gold stater struck for Dubnovellaunus, a ruler or rulers with the Trinovantes tribe.

Celtic Britain is an area of numismatics that, until the widespread expansion of metal detecting in the early 1990s opened the field to a wider audience, was rather limited, according to the catalog.

In Good Very Fine condition, the coin realized £7,440 ($11,532 in U.S. funds) including the 20 percent buyer’s fee; all prices here reflect the fee. The Rich consignment in total realized £107,406 ($166,479 U.S.).

 15:03. A 'totally unexpected' sales week for Legend Numismatics:

Legend Numismatics had a record breaking multi million dollar sales week! Many dealers would be happy selling the amount we just did in a year. ALL our sales were to collectors, NOT dealers. We are now on track to sell way OVER $10,000,000.00 in January-an all time record! 

Funny how things happen. One deal in particular started out us talking to a dealer about two not so expensive gold coins. Next thing we know, we are buying a single coin (as well as the gold) for OVER $500,000.00! We didn't even know this coin was around. As we mentioned in our last Market Report, we need coins like this. Last week we unexpectedly got lucky and few popped up (sorry, we can not mention what they were). ...

Who is buying? We have seen a spectacular increase in very wealthy collectors wanting the biggest and best coins. We're hearing more and more that coins are undervalued overall when compared to the art world, Americana, or even something like classic cars. Last week a Superman #1 in top condition sold for $2,190,000.00 while the huge Audabon Bird Book brought $7,900,000.00 (another had sold for $11 million two years ago). Sure, you can say they are apples to oranges, but these collectors feel coins like that Chain Cent PCGS MS65BN that sold at the FUN auction for $1,380,000.00 are still way behind all the $2-$10,000,000.00 paintings they can buy. 

On another level, smaller collectors can not buy enough GEM CAC coins. Its not just the big boys who have fierce demand. Mid range coins like PR Barber Dimes in 64-66 fly out of our inventory as fast as we buy them. Listing a choice Bust half in MS64 CAC is like throwing raw meat to herd of hungry lions! Many smaller collectors we are speaking to are actually people who have sat out the past year or two. A few are simply fed up with the stock market. Regardless, its great that people are coming back to coins.

Read the whole article.

13:25. Craig Eberhart from Los Alamos won the PCGS Grading Contest in Orlando. Another grading contest will be held at the Long Beach Expo, Feb 2-4:

The response to the PCGS Grading Contest at the FUN convention was extremely positive. Now, West Coast collectors have a chance to see who's the best grader and to win a Saint-Gaudens Double Eagle graded PCGS Secure Plus MS65. The contest will be held at the upcoming Long Beach Coin, Stamp & Collectibles Expo (www.LongBeachExpo.com), February 2 - 4, 2012, in the Long Beach, California Convention Center, 100 S. Pine Avenue.

We'll also have a special coin grading competition for young numismatists in high school and pre-high school categories, and the winner in each category will receive a PCGS-certified MS65 Morgan dollar.

Adult participants will have to grade 20 U.S. coins of random denominations and dates that have been previously certified by PCGS, but their holder inserts will not show the grade. Young numismatists will grade 10 coins. The winner will be the collector who has the most correct grades, "correct" defined as matching the PCGS grade exactly. In case of a tie, bonus points will be awarded to any answer that is correct to within a half a grade to determine the winner.

The competition for adults will be conducted during the show's public hours on Thursday and Friday and until 2 p.m. Saturday at the PCGS booth (#807). The young numismatists competition will take place on Saturday between 10 a.m. and 2 p.m.

13:20. World Coin news has posted images of several new Australian coins.

12:15. The latest issue of The Numismatist is online, available to ANA members. Articles include Die-Pressed Wooden Exonumia, Exotic Gold Dollar Love Tokens, Top 10 American Numismatic Books of the 19th Century, and Completing a Set of Barber Half Dollars. Regular membership is just $28 per year; recommended.

11:27. Banknote News has released the Andorra chapter of The Banknote Book. It's $0.99 individually, or a free download to subscribers.

Andorra banknotes chapter, The Banknote Book. Banknote News.

11:53. "In my humble opinion the coin that has done duty over a large territory should have most honor and value."

The above from the May 1908 issue of the Numismatists:

As a coin collector I am a very new one, having for years been interested in philately or stamp collecting, and only the last six months taken an interest in coins, and as an old experienced collector or expert might remark, very green. However, it has come to my mind very forcibly that it is a strange condition of affairs that coins in Uncirculated or mint condition are catalogued and valued by collectors at 300% or 400% more than a similar coin that has been issued to the public, has done a public service, has done its duty for which it was issued, in fact is the same coin with a history but not considered good enough to grace a fine collection.

I refer to the 1796 half dollar, catalogued in mint condition, $100, Fine condition $50, and in Good condition $20. In my humble opinion the coin that has done duty over a large territory should have most honor and value and not the one which is lain away in a bank or a safety deposit vault. If the supply and demand represents the value and there are so many more used than in mint condition, then reduce the value of them as a whole, and not discount the one that has served the purpose for which it was intended and issued.

How about the old war flags? Are they prized more if fine silk, unsoiled condition, just out of the box? No! Decidedly no! All the world over the more ragged and torn they are from service, the more honor and prize value the owners have for them, and they are hung in churches and regimental armories and there venerated.

The value of a coin to a collector should be its genuineness, its rarity, and its fair average condition after having performed so much of its duty.…

Q. David Bowers adds:

Wonder what the reaction would be if this piece were printed today? Of course, prices would have to be changed—instead of $100 for the Mint State 1796, how about several hundred thousand dollars! (Indeed, rare coins have performed admirably as an investment.)

Right now there is a frantic chase for Mint State coins, even of ultra-common varieties, a trend that is amazing to old-timers. Wonder how long it will last? True rarity is always in demand, and we suggest that a VF 1793 Chain cent will be a key item 50 years hence, but we would not want to bet on, say, the current price of a MS-70 1959 Lincoln cent holding its value. But we digress.

Read the whole article.

11:40. Documentation of the Sree Padmanabhaswamy temple treasure is set to start next month:

After a joint meeting with the oversight committee here today, documentation panel co-ordinator and noted conservationist Dr M V Nair said that the work would start either on February 17 or 18. The state-run electronic equipment manufacturer Keltron would supply devices and gadgets required for documenting and evaluating the rare treasures, running into an estimated Rs one lakh crore. "Today's meeting reviewed the progress made by Keltron in providing the equipment for the work. We are satisfied with the work done by Keltron. We expect to start the work by February 17 or 18," Nair told reporters.

Sree Padmanabhaswamy temple. Times of India.

11:05. Not that you'll necessarily have one but if you do: How to tell if your new UK £50 note is fake.

A ‘motion thread’ on the new note is woven into the paper. It has five windows along its length that contain images of the ‘£’ symbol and the number ‘50’.

When the note is tilted from side to side, the images move up and down. When the banknote is tilted up and down, the images move from side to side and the 50 and £ symbols switch. 

A portrait of the Queen remains, but the picture of the first governor of the Bank of England, Sir John Houblon, has gone.

The new UK £50 notes. This Is Money.

January 21, 2012

Collect bonds and share certificates? This may be of interest. 1912

A brief followup on the coins recently seized in New York. 1910

Coin collecting in the U.S in the 1850s. 1904

The Mint became America’s largest ‘coin dealer,’ de facto, but not officially. From 1859 until about 1885, tens of thousands of rare patterns, restrikes, and other delicacies were made for the private profit of officials holding positions there. Years later, in 1887, when a new Mint director sought to learn details he was amazed to find that the only records on hand were for a few 1868 Proof sets struck in aluminum. Everything else was ‘off the books.’ Today, collectors are grateful for this secret activity within the Mint walls, as otherwise most Gobrecht silver dollars of 1838 and 1839, Flying Eagle cents of 1856, and pattern coins would not exist!

Whitmore catalog of coins. SBG.

Recent U.S. Mint sales stats. 1641

The 2011 Vicksburg America the Beautiful 5-ounce silver collector coin goes on the board below at 7,861 of a potential 35,000. The 2010 Mount Hood 5-ounce collector coin was just declared sold out. The asterisk goes on a sales total of 26,928 of a possible 27,000. That number could fluctuate a bit, depending on possible returns or problems with credit cards.

Another new 2012 item, the five-quarter silver proof set, registered 61,181 in the first sales report since it went on sale. As a consequence the 2010 sales numbers are starting to be removed from these pages to make space for the 2012 issues.

Louis Golino discusses last year's 25th anniversary American silver Eagle sales, grading, and marketing; and perhaps a 'redo' of the same for a proposed 2012-S burnished Eagle. 1632

U.S. silver Eagle. CoinWeek.

Late last year the 25th anniversary American silver eagle sets that were released at the end of November dominated the modern U.S. coin market.

There was literally a frenzy of interest in these sets. Thousands of opened, unopened, and graded sets traded on e-Bay and elsewhere, and for a while prices were rising almost daily, as is the usual pattern following the sell-out of a hot Mint item.

Interest in the sets remains high, and many were bought and sold at the recent FUN show held in early January in Florida, but the frenzy seems to have cooled a little bit, as collectors turn to other issues and prices begin to stabilize.

Read the whole article.

Obsolete banknotes from Nashville, New Hamphire. 1406

Time and again in New Hampshire history the state legislature, acting on pressures from vocal minorities, overruled the will of the general citizenry. In 1842 there was a scrap as to where the new Town House should be located. Most citizens wanted it situated near the bridge on the south side of the river. A vote was conducted; 582 were cast for the south side of the Nashua River and 396 for the north side, seemingly settling the matter.

Rejecting the entire process, a group of dissidents precipitated a quick action by the legislature which resulted in the chartering of a “separate and corporate town to be known as Nashville” on the north side. Similar to the Nashua name, Nashville was derived from the name of the Nashaway Indians.

Indian Head Bank, Nashville, NH. Whitman. 

Strong prices rises forecast in 2012 for ... tin. 1402

NGC predicts The Year of the Dragon coins will be popular with collectors. I think they're right. 1156

On January 23, 2012, the Chinese New Year will be celebrated as the Year of the Dragon. The lunar zodiac is celebrated in many countries including Asia. Numerous countries issue commemorative coins featuring the zodiac animals and the Year of the Dragon will certainly be one of the most popular.

2012 Year of the Dragon coin. NGC.

There are many mythologies and religious ideologies behind the origins of the Chinese Zodiac. The earliest record stems from circa 2600 BCE when Emperor Huang Ti introduced the first recorded lunar cycle. Some believe the idea came from Buddhism. It is said that Buddha summoned all of the animals on earth before his departure. Only 12 animals came to greet him, so he named a year after each one. There are also many stories that explain how the animals were chosen, their sequence and their relationships with each other.

The zodiac animal assigned by the year 
an individual is born is believed to 
influence their personality. Character traits for those born in the Year of the Dragon include strong, vigorous, proud, noble and intellectual as well as arrogant, demanding, violent and brash.

A find of a rare railway certificate. 1148

This is a rare certificate with a maximum number of certificates issued to this one and five more if the others were for one share each. I am reminded of a great quote from Terry Cox's April 2008 Newsletter "As best I can tell, rarity can do little but imply how long buyers may need to wait to find another example of the same certificate. If the period between buying opportunities is important, then rarity is a good thing to know." I think a major flaw inherent determining rarity is that they are based on items for sale and not certificates that are part of a collector's inventory. Therefore, I do not expect a perfect rarity scale anytime soon.

Citizens Passenger Railway Company certificate. Vintage Stocks and Bonds.

This Week in Coin News from Heritage: Long Beach Expo offerings, a 1918-D dime, and more. 0925

MS66 Full Bands 1918-D dime. Heritage Auctions.

Today's Special (so far). It says the offer is for newsletter subscribers but doubt they will refuse anyone's money. 0920

World Coin News Offer. KP Numismatics.

The upgrades to parking meters to accept the new Royal Mint coins (to be released in April) are happening, albeit at significant cost to local municipalities. 0915

"Its brutal, but it's all for the gold, baby, going for the gold". Treasure seekers mine gold deposited by glaciers on the sea floor in the waters off Nome. 0907

Starting Friday, at 10 p.m. Beers’ new Discovery series, “Bering Sea Gold,” follows treasure seekers of a different kind as they hunt for actual gold, deposited over millions of years on the sea floor by glaciers in the waters off Nome. They individually designed and built floating mining rigs, ranging from a tiny modified skiff to an 80-foot-long dredger that paddles itself out to sea using a backhoe. “It’s coming out from the glaciers,” says Beers, “just rolling out there. The glaciers have done all the work for you. The runoff has done most of the work for you. Off of Nome, it’s just sitting there in that water.”

Stepping boldly into the future: David Harper predicts the numismatic happenings of 2012. I think #5 is a sure thing. 0902

The ANA is accepting nominations for its Numismatic Hall of Fame. 0859

The ANA Hall of Fame. ANA.

January 20, 2112

A limited edition copper coin has been produced for the 54th Pony Express Ride commemoration, from the Hasknife Sheriff's Posse.

...... 1:40 pm

Dear Dave - readers ask for numismatic advice from Q. David Bowers, Chairman Emeritus of SBG. This week, advice on books on American coins.

A billion here, a billion there: confusion between units and cost of producing U.S. coins; which I suspect is not that uncommon.

Is a return to the gold standard in the U.S. realistic?:

There was a time when politicians kissed babies to show they had the common touch and a real connection with ordinary folk. With the outcome of the US elections finely poised, gold and a return to a gold standard is seen as a potential vote-winner - today they are embracing gold, not babies.

In South Carolina 33% of voters are gold standard supporters, with 18% warm to the idea while only 11% are against and 6% cool on the proposal. Gold is a clear 3-1 vote winner.

U.S. Mint sales update: "Each of the collector coins garnered improved weekly sales, perhaps generated by bullish sentiment toward gold and expectations of rising coin prices".

Rip Van Eisenhower (dollar):

Before modern commemoratives arrived in 1982 and before American Eagles were created in 1986, anybody who wanted an American silver coin after the metal was removed from the half dollar in the mint sets after 1970, the only choice was the Eisenhower dollar.

One fine day we will all wake up and suddenly Eisenhower dollars will be getting a lot of attention and moving to high prices. It might not be at any point in the near future, but realistically the short Eisenhower dollar series deserves a lot more attention and eventually that will happen.

Back to basics: a discussion of misused numismatic grades:

Every now and then Coingrader Capsule has to return to basics, reminding sellers of coins–especially online sellers–about routine numismatic terms, especially associated with grades.

In my personal blog, I routinely monitor coin auctioneers selling on the Internet portal Proxibid, paying special attention to photography and lot descriptions. ...

Bargain hunters on Proxibid often win condition-rarity coins because the auctioneer might not know numismatics well enough to fill out the lot description. However, increasingly we’re seeing numismatic terms for mint state misused, calling almost uncirculated, uncirculated and choice uncirculated coins “gem,” which has a distinct definition, that being “MS65″ or better. (Sometimes the term “super gem” or “superb gem” is used for MS66 and above.)

...... 10:22 am

Take politics out of the U.S. Mint Director postion:

Since the founding of the United States Mint in 1792, all of its 38 directors, from David Rittenhouse to Edmund Moy, have been political appointees. Every so often there has been a gap between the service of directors but eventually a director is appointed.

Since the departure of Edmund Moy in January 2011, Deputy Mint Director Richard Peterson has been acting as U.S. Mint director regardless of whether he has the title or not.

Peterson is not an presidential appointee but a member of the government’s Senior Executive Service. According to his biography posted on the U.S. Mint website, Mr. Peterson was an executive at General Electric and has a manufacturing and supply chain background. Prior to becoming the deputy director, Mr. Peterson was the Mint’s associate director for manufacturing. He is a retired U.S. Navy officer, a graduate of the U.S. Naval Academy and holds an MBA from Harvard.

In other words, Richard Peterson is well qualified to be the chief executive of the largest manufacturer of coins and medals in the world. And with the exception of the American Eagle 25th Anniversary Silver Coin sets, the U.S. Mint has experienced fewer problems in the last year than in the previous years under the last politically appointed director.

"Hey America 1861 called and wants its currency back."

If ever there were a clear indication that American consumers don't trust the government to spur economic growth on Main Street, the recent surge in local currencies is it. 

As reported by CNNMoney, at least a dozen towns in the U.S. have started printing bank notes tailormade for their community since 2009. 

The practice is perfectly legal, since the U.S. Constitution only prohibits states from printing bank notes of their own. Towns and cities are free to do so, just as long as the cash is clearly distinguishable from the regular dollar and based on its value. 

An online game from Russia's Sberbank promotes 2014 Winter Olympic coins.

Predicting the end of the world as we know it. And $10.000 gold.

...... 6:30 am

French engineer Jean Castaing, the Castaing machine, and coinage.

An EPA listing for the sage grouse may restrict new mining and exploration in Nevada:

Federal and state regulators Wednesday repeatedly assured Nevada officials and users of public lands-including Nevada mining companies and explorationists--that they want to avoid Endangered Species Act listings for the Greater Sage Grouse and the Modoc Sage Grouse .

Greater Sage Grouse occur in only 11 western states while the Modoc Sage Grouse is primarily confined to Nevada and California. They depend on large areas of continuous sagebrush habitat, which is now considered to be one of the most imperiled North American ecosystems. Federal agencies manage about two-thirds of U.S. sagebrush habitat. Roughly 31% of U.S. sagebrush habitat is privately owned.

Will there be a new China stimulus and resultant boost in bullion prices?

Edward II and the Hundred Years War:

A political statement could not be clearer. Edward III in armour, standing on a galleon, holds out his shield with the coat of arms towards the beholder: English lions and French fleur-de-lis. The ship and the reverse of the gold coin are also strewn with these significant symbols.

English noble coin. CoinsWeekly

In the 1340s, Edward introduced the noble, the first English gold coin to become widely used. This fact was much appreciated by the king. After all, he wanted everybody to know that he was not only King of England, but also laid claim to the French throne, which was why he was at war with the neighbouring country.

Fifth example of a U.S. large cent variety found:

The fifth-known example of the Noncollectible 11 variety of 1794 Liberty Cap cent was reported Jan. 7 during the Early American Coppers meeting held in conjunction with the Florida United Numismatists convention in Orlando.

1794 Liberty cent variety NC-11. Coin World.

The new example was reported at the EAC meeting by Greg Hannigan from Hannigan’s Rare Coins LLC, in Royal Palm Beach, Fla.

All known examples are heavily circulated, with the finest known, the initial discovery piece, being a Very Good 8, and the lowest a Fair 2.

EBay's new coin replica sales policy has generated some concern from the legitimate replica coin market:

And not surprisingly, it's got sellers worried about the nuances of the policy wording, how far it will go, and how it will affect their businesses.

On the eBay Coins & Paper Money Discussion Board, one seller mused, "I wonder what will happen to collectible counterfeits, fakes and reproductions of coins?" And another wondered, "Where does someone list their 1861 Confederate half dollar now?"  

Quoting a detail at the end of the new eBay coin policy "Fact Sheet," which states, "This update reflects standards across the coin industry and helps ensure compliance with applicable laws that require replica coins to be permanently marked with the word "copy"," a seller wrote, "In order to protect a buyer from buying a counterfeit copy that is not marked, they are going to disallow anybody from listing an AUTHENTIC COPY that IS marked according to industry standards??"

January 19, 2012

...... 8:00 pm

Downies of Australia celebrates 80 years in 2012; and was started as stamp trading business by a 16-year-old.

Interesting: PCGS sample slabs, dealer slabs, and luncheon slabs.

Say what? Challenge coins "fun but not that challenging".

A bunch o' new banknotes, from Banknote News.

Hong Kong: 20-dollar notes:

Hong Kong 20-dollar banknote. Banknote News.

Hong Kong 100-dollar notes (no error):

Hong Kong 100-dollar banknote. Banknote News.

Eritrea 50- and 100- nakfa notes (no image yet).

Somaliland 1000- and 5000-shilling notes:

Somaliland 5000-shilling banknote. Banknote News. 

...... 7:00 pm

Apple has released iBooks 2, a free app for reading full-screen digital textbooks. I wrote an article in April 2010 about the 'iPad and numismatics' following the initial release of the iPad, accessible here.

The CPM Group 2012 long term gold outlook (no direct link; click on 'Ask an Expert in the left column):

CPM Group has released its 2012 Gold Long-Term Outlook. The 280-page study is a comprehensive analysis of the key market fundamentals of gold that are expected to influence prices through 2021. The report includes projections of supply, demand, and prices under three scenarios over the next 10 years. Investment demand is the key to gold prices. Various factors that influence gold investment demand, such as interest rates, exchange rates, purchases of gold coins and bars, exchange traded product holdings, and the use of gold as a portfolio diversifier, are discussed at length in this report. The report contains projections for mine-by-mine production through 2021, and provides a detailed analysis of major gold-producing countries’ contribution to total mine supply. The report also contains a thorough analysis of gold scrap recovery from old jewelry and other end-uses. The official transaction section of the report discusses trends in central bank buying and selling of gold, and addresses misconceptions related to the possibility of selling central bank gold holdings by European and U.S. central banks to offset their sovereign debts and deficits, and the potential for gold usage in future currency systems.

"Children at work". There is bullion news here.

And, a highlight from Heritage's Long Beach Signature auction:

This 1860 Mormon gold five dollar is the single finest graded example at PCGS, ahead of two submissions in MS61 (1/12). These three coins -- if indeed they are all separate examples -- represent the only Mint State 1860 Mormon fives at PCGS. The 1860 is the last year the Mormon five dollar denomination was minted; it bears a design markedly different from the two earlier Mormon five dollar issues -- those of 1849 and 1850 -- so that most Territorial gold collectors would consider it a separate subtype. This piece is numerically tied at PCGS with a single 1850 Mormon five, also in MS62; the finest 1849 Mormon five at PCGS is a single MS60.

1860 Mormon five dollar gold. Heritage Auctions.

A highlight from SBG's Americana sale; nice note:

An exciting Continental note from the second series. These $1 notes were heavily used in commerce; few exist that might even match this for quality. We can’t imagine one finer. Vastly undervalued when compared to the early $1 Legal Tender notes emitted by the Federal Government in 1862. The face and back margins are immense for the series. Strong printing clarity and superior appearance. Phenomenal in all regards. A key piece in a high-end collection of Continental Currency.

Continental $1 note. Stack's Bowers Galleries.

...... 3:25 pm

New policy from eBay on coin replicas:

Earlier this morning, eBay sent the following message to its community of coin buyers and sellers. This is welcome news for those of us in the industry because many collectors have found the venue to be loaded with confusing offerings of real coins and replicas. I have been told personally by senior executives at eBay that this is the first step of many that the organization is taking to improve the rare coin and bullion categories. From my perspective, this is welcome news that has been long overdue. A better eBay is better for the coin business overall we’re looking forward to working with eBay in the future as they continue their improvements.

UPDATE: the notice from PNG:

"The new eBay policy is very positive for consumers.  Most of us who have been in the coin business for any length of time have encountered numerous people who have been hurt by replicas -- both financially and emotionally.  I personally have seen dozens of cases of people mistakenly thinking they had a real gold coin but it was merely one of the a base metal, plated "Baldwin $10" replicas distributed in the early 1960s as a give-away in cereal boxes.  People truly believed these were genuine gold pieces simply because they'd been in the family for 40 or 50 years.  The new eBay policy set forth with PNG's collaboration will have a lasting, positive effect for decades and even for generations to come."

When is a deep/ultra cameo proof gold coin worth a premium? From Doug Winter of Rare Gold Coins, illustrated with two gold dollar examples:

Having recently handled a considerable number of impressive Proof gold coins, I’ve been thinking about when a specific coin is worth a premium because of is status as a Deep Cameo (PCGS’ modifier) or Ultra Cameo (NGC’s modifier). After a brief explanation of these terms, I’d like to use a few examples of the coins I’ve sold to illustrate scenarios in which I feel a premium is merited.

Proof gold coins are struck specially for collectors in very limited numbers. They are made with care using specially prepared planchets and typically struck with multiple blows of the dies. One of the features of most pre-1900 American gold coins in Proof is that they show cameo-like contrast between the devices (which are frosted) and the fields (which are watery and reflective). Collectors appreciate this appearance; as well they should, as a gold coin with deep, strong cameo contrast can have wonderful eye appeal.

The question most collectors ask about cameo proof gold coins is when are such pieces worth a price premium. ...

In summary, I feel that the two reasons to ascribe a strong premium to any proof gold coin due to its status as a deep cameo/ultra cameo are either extreme eye appeal (or beauty) and extreme rarity (status as the only example of an issue with this designation or else the single highest graded with this designation). Obviously, the best scenario is a proof gold coin that is both extremely rare and extremely beautiful. In this case, the premium could be very high; maybe as much as 25-50%.

Cameo $1 U.S. gold coin. Rare Gold Coins.

Read the whole article.

...... 2:05 pm

What's a coin worth?

Recently, I held one million euro in my hands and I realized that this is just a pile of paper. No romantic dreams about how to spend that money did pop up. And finally, what would change in my life owning a million euro? I will still be able to eat only three times a day and to sleep in just one bed.

I guess I have plenty of company. For example the person who recently spent 3.25 million dollars for the most expensive Greek coin ever sold. He or she has too much money that much, that 3.25 million dollars simply don’t matter.

I confess this amount is so big that it makes me think. What will be the true value of our money, if somebody spends such a sum for a few grams of old gold? If he invested sensibly this money in our economic life instead of buying a hoarding object, he could have given an economic future to many employees.

A 'cereal threat'? Or, regarding the PNG and eBay alliance- what were they thinking? UPDATE: PNG responds:

“The purpose of me mentioning the  ‘Baldwin $10’ problem was to show that unmarked replicas and counterfeits is an ongoing problem that’s been around for many years.  Obviously, the Chinese counterfeit issue is at the forefront of today’s problems and the correlation is that 50 years from now, hopefully, eBay’s current action, will help prevent it from being a recurrence.

“This is just the first step, but it’s a big one. There are many positives in what the PNG and eBay alliance is attempting to accomplish to protect the uninformed public. This is an important issue that everyone in the numismatic community should be supporting.”

Coins of Hungary get a new name.

...... 12:10 pm

More questions raised about the durability of Canada's polymer banknotes:

He first noticed the weakness on Tuesday when he withdrew 12 of the plastic $100 bills from a local bank. The bills, which first went into circulation in November, are supposed to last two-and-a-half times as long as their paper counterparts, according to the Bank of Canada.

Shepard said two of the bills he received already had nicks in them and began tearing even more when he handled them.

"This one had a crack or something where it was folded," he explained, showing CTV Winnipeg the bill in question. "When I counted the money, it seemed to just tear instantly."

Beth Deisher, editor of Coin World, asks an as yet unaswered question regarding the recent ANA theft:

How does one person steal at least 338 rare and historic coins from a museum vault in 73 days? (That’s an average of more than four per day, counting weekends and holidays.)

Treasure of a different type: the Louvre pays $10 million to a junk dealer for a rare Medieval pieta:

The parish priest, trying to raise money to install a heating system in the church, decided to sell various bric-a-brac and old furniture from a church storeroom. A second-hand dealer purchased the contents of the room in their entirety, and, as he combed through them, he noticed an ornate 18th-century frame that he thought might be worth something. As it turned out, the painting, not the frame, was the find — and it turned out to be more valuable than he ever would have imagined.

According to Le Figaro, after removing the frame, the second-hand dealer decided to restore the painting, which was mostly obscured by layers of whitewash. Discovering the gold background and the angels surrounding Christ, he realized that he had something special on his hands. It turned out to be Jean Malouel's "Pietà with Saint John and Two Angels," painted before 1404. Back in 1999, the dealer first approached the Louvre, which also owns a round pietà by Jean Malouel, about purchasing the piece. (The only other known painting by the Flemish-born Malouel, who was the official painter of Philip the Bold, Duke of Burgundy, is the "Virgin And Child Surrounded by Angels" in Berlin, according to the art blog La Tribune de l'Art.)

David Lawrence Rare Coins has updated their website. New graphical tabs allow for quick searching for items of interest, with an "Elite Items' section for coins selling for over $20k. DLRC was the first online dealer I purchased coins from several years ago was one of the first companies with a sophisticated (easy to use and navigate) website.

David Lawrence Rare Coins

Selling your coins, part 2, from Whitman.

...... 10:20 am

Ah, gold price prognostication. Gotta love it:

Gold investment is riskier than believed:

We enter 2012 with even more uncertainty than we left 2011 and the reaction of the market is evident. Everyone is screaming “gold” with many predicting that it will peak at more than $2 000 (R16 010) an ounce before year-end. But why?

To answer this we need to look at where investors and private individuals store their excess wealth. All investors want to keep their wealth in a place where it will grow, or at the very least, keep its value. But such places are hard to find in times of recession.

Five reasons why gold to hit $2000 in 2012:

Gold has just completed the eleventh year of a bull market with the price of gold increasing around 400 per cent since 2001. There are many analysts and investment managers who believe that the positive outlook for the price of gold bullion will continue with further price rises expected during the course of 2012. Here are our top five reasons why we believe the price of gold could reach $2,000 per ounce or higher this coming year.

The California State Numismatic Association is holding an Educational Symposium, March 31 in Studio City, CA. Scheduled speakers are Fred Weinberg, Ira Goldberg, Garrett Burke, and Jim Wells.

Endeavor Silver, a silver mining company, is funding scholarships for both undergraduate and graduate work in mining, geology, and metallurgy.

Seems to be more of these stories lately, this from China:

A task force headed by the Criminal Investigation Bureau (CIB, 刑事警察局) yesterday busted a banknote counterfeiting ring, and nabbed all the 11 suspects involved in fabricating fake notes in the denominations of NT$1,000 and NT$500, according CIB sources.

Why can't I scan banknotes? From the UK but general principles:

Though not exactly common knowledge, it is a fact that some image programs, scanners and even colour photocopiers and printers have tools built in that prevent them from reproducing banknotes of all types and denominations.

The reason for this is that enabling reproductions of currency is a legal quagmire, with different laws in place in different parts of the world.

In the UK, for instance, it is legal to reproduce banknotes so long as certain criteria are followed. Though the rules are long and detailed (see the Bank of England’s current guidelines), essentially you are allowed to reproduce a single side of a banknote – so what you were attempting was not actually illegal.

...... 6:40 am

The 2011-W uncirculated $50 Gold Eagle is sold out; possibly a new rarity in the series? UPDATE: More from the PCGS Blog.

Collecting U.S. Bust quarters:

Bust quarters may be one of the tougher collections of early coins of the United States. That said, many Bust quarter dates are at least available in circulated grades and that fact along with a fascinating history reflecting the early days of the country and the first United States Mint makes Bust quarters a lot of fun and a good education as well.

From the start, the quarter was a denomination that was not likely to be heavily collected. The quarter at the time was an upper denomination and not one many of the very few collectors would have saved. In addition, even if you had wanted to collect quarters there was a problem simply because the denomination was not produced on a regular basis. Assuming collectors back in the 1790s and early 1800s were similar to collectors today it would have been discouraging to go a few years without adding a new coin to your collection.

A Bathing Medal:.

Storer writes: "I am at last enabled to give the description of a medal which I previously merely knew the existence. Obverse: The Principal Bathing Places of England, with miles distant from London. Exergue: J. Ottley, Medalist Birmingham. To right: Scotch Universities; To left: English. Reverse within circle: Miles Distant from London. Between edge and this circle, the names of the principal towns of England, with figure to correspond. Spink & Son Num. Circular, Sept, 1893 P.365, No 4."

In the 19th century, medical cures from "marvelous water," the best in the world, for every known ailment were broadcast in medical journals with tours and testimonials as to the curative affects to be obtained in every spring and brook. Medalist John Ottley was elder of a family of Birmingham medalists including Thomas Ottley operating from about 1818 to 1900. Their medals were known for unbelievable detail.

A bathing medal. The E-Sylum.

Understanding grades for Lincoln Wheat cents:

Grading Lincoln wheat pennies is a skill that has taken even the best coin collectors many years of experience to perfect and this guide will get you started. Remember that coin grading is the expression of an opinion that describes the condition of an individual coin that most dealers and collectors would agree with. Grading is not an exact science where a formula can be applied and everyone comes out with the same result. But over the years, numismatists and coin grading services have agreed upon certain definitions, descriptions and Sheldon's numeric values that help all coin collectors describe their coins accurately (to a certain extent). 

The U.S. Mint has raised the price of proof platinum eagle by $100, responding to an increased bullion price.

U.S. platinum eagle. CoinNews.

Are UK £5 coins legal tender?

Legal tender has a very specific meaning when taken by the letter of the law. It means that a debtor cannot successfully be sued for non-payment if he pays into court in legal tender.

It does not mean that any ordinary transaction has to take place in legal tender or only within the amount denominated by the legislation. So for example, if you are buying a car off someone and choose to part exchange your own car with them as part payment, this is ok. You can both agree a value and pay the remainder in legal tender cash, or by any other means you choose.

January 18, 2012

End piracy, not liberty.

...... 10:22 pm

Why silver is better than gold.

Silver is used in everything from mirrors, to optics, to clothing, to cell phones, to photography, to water purifiers, and even to medicine. While silver is the least scarce of all precious metals, it is a widely consumed metal with uses that are wide-ranging and the metal is in high demand across all sectors of manufacturing.

The implications of this are highly favorable to investors of silver. Much like gold, you retain the value of the metal, take advantage of inflation, and protect against global economic risks. But in addition, the industrial uses drive up demand (since manufacturers actually NEED it), and equally important, it drives down the demand (since it's being mostly consumed (when the cell phone is dumped in a land fill, the silver isn't removed, causing it to be essentially "lost" from the world's supply).

A poorly done, but unusually made counterfeit 1922 No D Lincoln cent:

As I sat down to write this article, NGC graders identified a fake 1922 No D cent that was struck by dies. It is very unusual to see a die struck counterfeit 1922 No D cent because of the added work required to craft dies. This piece is not particularly deceptive: all of the details are weak, the surfaces have numerous tiny raised dots, and the color is off. There is also a strange “wire rim” at the upper left obverse. Nonetheless, since this fake was struck by counterfeit dies, there are undoubtedly many more like it. Pay close attention to this counterfeit and make sure to familiarize yourself with the diagnostics of genuine examples.

Counterfeit 1922 No D Lincoln cent. NGC.

San Marino coins showcase that country's architecture.

San Marino coins. Coin World News

"Gold tracks across my back"; Lisa Bellavin confesses that she is not a good prognosticator.

The Butternut Company has ranked the Whitman Coin & Collectibles Baltimore Expo one of "The Best Secured Coin Shows for 2011."

Had a good talk about this at the last local coin club meeting: Collecting error coins.

Look, up on the TV screen, on the internet link! It's the gold 'super bull market'. Perhaps there is more than one way to interpret that.

On to the Long Beach Expo. Heritage's Feb 2-5 US Coins Signature Catalog is now online. Here's a sample of the offerings:

Pattern 1877 Half Dollar. Heritage Auctions.

As the saying goes, one picture ... "Incredible money portraits".

A portrait made of money. Bangstyle.

How fixed would a gold standard actually be?

The Chinese used paper money before abandoning it (just as the west was discovering the printing press). Monetary experiments in France under John Law and the Jacobins ended very badly (and very quickly). But one can easily flip the argument around. Nearly all societies did use metallic money but none now do. So one could say that all metallic money systems have been abandoned. The reason can be found in Mr Schlichter's argument; metallic money worked well in terms of delivering price stability but that is only one goal. What about growth and employment?

Breaking news (from 1806): U.S. signs the Louisiana Purchase Treaty:

100 years later in 1903, Congress appropriated $5 million to fund the construction of a World Fair, including the buildings and exhibits. Congress also approved the production of 250,000 gold dollars to commemorate this significant event. At the time, Farran Zerbe, famous coin collector and dealer, had close connections with the Mint and he suggested that they use two different designs for each coin. This was done in an attempt to popularize the coins. The Mint took his advice and struck two different 1903 Louisiana Purchase gold dollars. One had a portrait of Thomas Jefferson on the obverse, while the second had a portrait of William McKinley. Both coins had the same design on the reverse.

1903 Louisiana Purchase coins. PCGS.

...

Is Newt Gingrich embracing a gold standard for the U.S.?

“We need to get our house in order. And we need to vaccinate ourselves against foreign contagion. The correct answer to the Euro is not to spend more American money propping up the Germans who prop up Southern Europe. The correct answer is to figure how we seal our banks off; how we make sure we protect ourselves and then say to the Europeans: you have a problem and you need to solve it.

“Part of our approach ought to be to reestablish something Ronald Reagan did in 1981 and that is to have a Commission on Gold to look at the whole concept of how do we get back to hard money.

Forget gold 1: buy oil.

Forget gold 2: buy copper.

Alternative money 1:

It may seem like Monopoly money to outsiders, but a growing number of communities across the U.S. are using homegrown local currencies to stimulate their economies and protect themselves from the nation's broader economic woes.

While there were only about 20 active community currencies in the United States in 2009, there has been a recent resurgence, with at least a dozen communities developing their own currencies in the past couple of years, estimates Loren Gatch, a professor of political science at the University of Central Oklahoma who researches these alternative currencies. In addition, currencies that have been around for years have seen a spike in interest, with membership doubling in some cases.

"Economic instability is on peoples' minds," said Gatch.

Alternative money 2:

With his second presidential bid underway and his national profile on the rise, it is probably not surprising that the 1-oz Ron Paul Silver Round is one of Provident Metal's best-selling products of all time. The one-ounce silver round features Ron Paul on the front, is minted in .999 investment grade silver, and meets criteria of the American Open Currency Standard. The brisk sales have also been accompanied by investors' questions regarding the AOCS and a completely unrelated counterfeiting conviction.

The source of these questions stem from a 2011 federal conviction of Bernard VonNotHaus. VonNotHaus produced and sold the Liberty Dollar as legal U.S. tender, explicitly labeling his coin with the word 'dollar' and other features common to U.S. coins. The U.S. Attorney General claims the Liberty Dollar was specifically created to be used as an alternative to the US Dollar. The Liberty Dollar story generated considerable buzz in the precious metals blogosphere. Dealers and producers also need a professional system for certifying their bullion products' weight and purity, which is precisely the role of the AOCS.

A summary, with detailed tabular listings, of U.S. Mint sales:

The latest weekly report of the United States Mint’s numismatic product sales includes the debut figures for the recently released 2011-P Vicksburg Five Ounce Silver Uncirculated Coin and the 2012 America the Beautiful Quarters Silver Proof Set. Meanwhile, two older products have sold out.

The US Mint began sales of the Vicksburg National Military Park 5 oz. Silver Uncirculated Coins on January 12, 2012. The coins had the lowest initial pricing point for the numismatic series to date. Through the reporting date of January 17, 2012, sales have reached 7,861 units out of the 35,000 maximum mintage. This falls below the debut sales level for the previous release featuring Olympic National Park, which came in at 8,662.

Credit Suisse lowers its gold target price to $1755. Ditto for silver, platinum, and other commodities.

The difference between desire and value in coins:

One of the advantages of being a collector is there is so much to collect. You can buy just about anything you want.

A disadvantage about collecting is you can buy anything you want. Some older issues are so little known or so out of favor that selling them is a great challenge.

Greg Reynolds discusses classic silver quarters sold at the Heritage Platinum auction at FUN:

Yes, I realize that this auction will not be forever remembered as a landmark offering of quarters. Nevertheless, some of the quarters included are terrific and others are fair examples of relatively expensive quarters that are found in the marketplace. Several of the quarters that I discuss are rarities in absolute terms and almost all are condition rarities.

Quarters are extremely popular among coin collectors and learning about relatively expensive quarters often results in a greater understanding of the quarters that thousands of collectors can afford to buy. Indeed, more than 400,000 people collect U.S. quarter dollars. I trust that many are interested in reading about rarities that they will never buy and may never even have a chance to see. When I was collecting Barber Quarters, I enjoyed reading about Draped Bust and Capped Bust Quarters.

The collector who had two coins seized in New York City will face one count of criminal possession of stolen property:

Dr. Arnold-Peter C. Weiss, 51, of Barrington, R.I., faces the stolen property charge in the criminal court of the city of New York.

Two coins, including one coin that was expected to establish a new price record for an ancient Greek coin, were seized during lot viewing at the Waldorf-Astoria Hotel in Manhattan by representatives of District Attorney of New York County Cyrus R. Vance Jr. and, reportedly, officials with the Department of Homeland Security. The seizure occurred one day before the coins were to be sold at auction by Classical Numismatic Group and Nomos AG.

In the criminal complaint, released by the office of District Attorney of New York County (Manhattan), Weiss is alleged to have told an undercover informant that one coin, a circa 405 to 403/2 B.C. silver tetradrachm of Katane in Sicily, was “freshly dug” from the ground and thus, according to the complaint, “it had to be the property of the Italian government” under Italy’s Code of the Cultural and Landscape Heritage, which addresses ownership of all antiquities found in Italy after 1909.

Weiss allegedly was recorded discussing the coin from Katane, saying, “There’s no paperwork, I know this is a fresh coin, this was dug up a few years ago. … This was dug up two years ago. I know where this came from.”

According to the lot listing in the Cabinet W catalog, the Katane tetradrachm was purchased privately in 2010.

New 50-bhat Thailand banknotes to be released this weekend, the first of new denomination notes to be released through 2026.

The 1855 half cent:

In 1855, the bulk of the American public was doing their best to ignore half cents no matter what date. The public was tired of large copper coins, especially half cents. Over the years, the half cent had some low mintages as well as proof-only or even zero mintages.

The 1855 was no exception, with a mintage of 56,500 pieces. That, if anything, made the 1855 half cent one of the higher-mintage dates of the period. There was in fact some collecting interest at the time, which would grow significantly with the introduction of the Flying Eagle cent.

...... 6:20 am

The Cabinet W collections, promoted as 'Masterpieces of Ancient Greek Coinage", realized nearly $5 million in spite of seizure of the 'marquee' lot:

The lead lot, not counting the silver decadrachm of Akragas that was expected to establish a new record price for an ancient Greek coin (Coin World, Jan. 23 and Dec. 26 issues) before it was seized by authorities, was a unique silver tetradrachm of the tyrant Gelon. The coin features what Classical Numismatic Group and Nomos AG (which jointly conducted the auction) call “very probably the finest facing head ever to appear on Greek coinage.”

The circa 485 B.C. silver coin was issued in Syracuse in Sicily, part of ancient Greece, and bears a striking portrait of the river god Alpheios on the obverse.

NGC is reviewing Census information, starting with gold coins:

To ensure that we are providing accurate, up-to date Census information with the most precise counts of the coins we’ve graded, we’ve hired additional consultants to review submissions and check for any duplication of coins.

The Royal Canadian Mint has released a 2012 proof silver collector coin marking the bicentennial of the War of 1812:

The Royal Canadian Mint is proud to announce that its first collector coin of the year, the 2012 Proof Silver Dollar, is dedicated to celebrating the 200th anniversary of the War of 1812.  This cornerstone of the Mint's annual collector coin program remembers a conflict which united English, French and First Nations forces in defending the borders and values of a future Canada and also ushered two centuries of peace between Canada and the United States.

"The Royal Canadian Mint is proud to celebrate Canada's history, culture and values through beautifully crafted collector coins and we are delighted that our 2012 Proof Silver Dollar honouring the bicentennial of the War of 1812 captures one of the most pivotal moments in Canadian history," said Ian E. Bennett, President and CEO of the Royal Canadian Mint. "Canadians far and wide can collect this coin as a memento of their history and the Mint looks forward to continue celebrating this milestone anniversary with many more coins to follow".

War of 1812 commemorative. Royal Canadian Mint.

A compilation of pricing information for U.S. Mint 2012 numismatic products, which includes lower pricing for some products.

The story of a 1944-D steel cent:

An Oregon woman contacted Mr. Estes a couple of months ago about a 1944-D steel cent she had inherited. She explained that she had shown the coin to another local dealer who said the coin was probably not real and who offered to buy it for a token amount as a curiosity. She believed the coin was real and was frustrated that she could not find anyone who would take her seriously.

When she spoke to Mr. Estes, he asked if a magnet attracted the coin, and she said it did. This indicated the coin was made of steel rather than copper like most 1944-D cents.

The woman then met with Mr. Estes, who could immediately tell the coin was real based on his decades of experience as a coin dealer and expert numismatist. The woman shared additional information and documentation about the coin with Mr. Estes.

Considering a professional coin appraisal.

Q. David Bowers recalls coin collecting in the 1960s and 1970s, and an early silver rush:

 continue my commentary on coins in everyday circulation. Last week I ended with the comment that Mint Director Eva Adams blamed coin collectors for the shortage of 1965 and 1966, when speculators and investors rushed to take as many coins from circulation as possible — as a profit could be made by melting them.

Dimes, quarter dollars and half dollars disappeared. Very few of these people had anything to do with numismatics.

Collectors were punished by a halt in production of Proof sets and removal of the Mint marks on Denver issues, making new coins less interesting. Collectors and dealers were furious. Proof sets had been issued continuously since 1950, and now they were gone. Mint-marked varieties were bedrock of the hobby.

Artist showcases India through works based on past and present coins.

January 17, 2012

...... 10:06 pm

Good news! In 2011 the U.S. Mint produced nearly 5 billion cents, the coin that no one seems to like. Thus the urgency of the task noted in the previous article.

U.S. Mint is testing changes in coin composition:

The United States Mint began producing trial strikes in December at the Philadelphia Mint using nonsense dies to test potential compositional replacements for current circulating coinage alloys.

The test strikes were produced as part of a two-year research study seeking alternative metals to reduce production costs.

Additional trial strikes are scheduled to be conducted in February or March at the Philadelphia Mint, according to Tom Jurkowsky, director of the U.S. Mint’s Office of Public Affairs.

Jurkowsky did not disclose what possible composition alternatives are being studied, only to say that many of the alternatives being looked at as viable candidates are currently in use in other countries for coinage.

The Mint has been battling the rising costs of copper, zinc and nickel that for the past five years have kept the combined metal acquisition, production and shipping costs for the cent and 5-cent coin above face value for each coin. The U.S. Mint’s recently released annual report for Fiscal Year 2011 noted that the cost to produce the copper-plated Lincoln cent is 2.41 cents, while that for the copper-nickel Jefferson 5-cent coin is 11.18 cents.

I'd just like to point out that coins would have been totally unsuitable for this purpose.

Treasures of a different sort, and validity: rocks and fossils.

Uh, chaos? "What happens if currency fails?". 

A gold coin will be given away every day at the Long Beach Expo, Feb 2-4.

Q. David Bowers previews SBG's upcoming Americana sale:

The sale begins on Tuesday afternoon at 5 p.m. with Lot 5001 in Sesssion 4 - Our Americana Sale starts with obsolete private, municipal, and sutlers’ (suppliers to traveling Civil War Union Army troops) scrip bills and paper money. The terms rare, very rare, and extremely rare become common in this offering of prize items from the Thomas F.X. O’Mara Collection gathered over many years. Even though most are estimated in the hundreds of dollars, many are so elusive that you may not see another offering in your lifetime. Our offering of the John J. Ford, Jr., Collection a few years ago set the pace for a hobby-wide appreciation of such bills, not only for New Jersey but for other states as well.

SBG Americana sale. SBG.

Obsolete notes from state-chartered banks come next. In the past 10 years, the interest in these has multiplied and they have appreciated in value more than just about any numismatic series associated with our country! Still, prices are very reasonable in comparison to many other series. Colonial and other paper notes round out this section.

Selling your coins, Part 1, from Whitman:

Is it time to sell your coins? Perhaps you don’t consider yourself a collector, but you’ve inherited a cigar box full of Grandpa’s old pocket change. Or maybe you’ve spent years in the hobby, and you feel like it’s time to explore new paths. You might be drawn to a different collecting specialty within numismatics, or even to a completely new hobby. Perhaps your life circumstances have changed, and you need to cash in (however reluctantly) on your investment. Or maybe you want to take advantage of the current “hot” coin market by selling off some of your collection’s duplicates.

The Perth Mint, Australia, is offering a 2012 Year of the Dragon stamp and coin cover set for $14.95.

An analysis of how well coins did as an investment in 2011. Caveat emptor.

...... 8:38 pm

India increases duties on gold and silver imports.

The January Enews from the American Numismatic Society has been posted; lots of information about activities and events of the Society, including this:

The ANS is pleased to announce Dr. Richard G. Doty as the recipient of the 2011 Huntington Medal Award. The award is conferred annually in honor of the late Archer M. Huntington in recognition of outstanding career contributions to numismatic scholarship. Dr. Doty is Curator of the National Numismatic Collection at the National Museum of American History of the Smithsonian Institution.

The Huntington medal. American Numismatic Society.

A teaser, but worth a look, from J.K. Americana:

Back from FUN with enough new inventory to make the floors creak! Colonial coins, Betts medals, rare US Mint medals.

Or they may not; Gold ETFs may continue to shine.

Heritage's FUN currency event realizes over $8.4 million:

The finest of three known $20 Nevada Red Seal notes, a $20 1902 Red Seal Fr. 641 The Nixon NB Ch. # (P)8424, by far the greatest note to emerge from The Platte River Cash Hoard, brought $66,125 as the top note in Heritage Auctions Jan. 5-10 Signature® Orlando FUN Currency Auction, which realized an impressive $8.4+ million total. All prices include 15% Buyer’s Premium.

Reno $20 Red Seal banknote. Heritage Auctions.

“The Platte River Hoard is without a doubt a great currency find,” said Allen Mincho, Director of Currency Auctions at Heritage, “and this $20 Red Seal is easily the best of that significant bunch and a reminder that significant rarities are still awaiting discovery even a century after their issue. A mere 14 Red Seals have been reported from all the banks in Nevada combined, and – obviously – collectors put a premium on them.”

...... 1:35 pm

Nothing like a good conspiracy plot:

A reader forwarded me a link to a website claiming that the routine destruction of worn out paper money is now part of a secret plot to track everybody’s finances through the use of digital currency.

It is a great tribute to modern financial propagandists that they can make something so routine sound so sinister.

Lots of uncertainty from the vending industry as the Royal Mint introduces revised coins this month:

The new coins will be slightly thicker, and customers will be left fumbling through their change to find a coin that will be accepted, since some machines will no longer take the old-style coins while others will reject the new ones.

The new coins were originally meant to be introduced last year, but were delayed because of a campaign from the vending industry. They are a cost-saving exercise for the Government, because the current coins are made of an alloy of copper and nickel, which has become more expensive. The new coins, which the Royal Mint started to produce at the beginning of January, are made of steel.

Jonathan Hilder, head of the Automatic Vending Association, said the delay had allowed the vending industry to prepare for the new coins, but added that there would be issues with accuracy as the machines would no longer be able to judge the coins by weight.

"Space Invaders targets coins"; did the arcade game contribute to a 100-yen coin shortage in Japan in the late 1970s?

Coin find will help date the Jerusalem temple:

A coin discovery is assisting archaeologists in their understanding of when the construction of the Second Jewish Temple in Jerusalem was completed.

A contemporaneous account by retired general and historian Josephus Flavius cites that the temple built by King Herod I was not completed within Herod’s lifetime. However, many people today think that Herod did indeed complete it prior to his death in 4 A.D.

The City of San Carlos has a new official coin:

The city of San Carlos has unveiled its official new coin, a token officials say will be awarded to well-deserving residents and visitors and a final brainchild of former mayor Omar Ahmad.

The two-sided coin is a little larger than a silver dollar and depicts on one face a two-tone modified version of the original seal with the 1925 incorporation date. The flip side has the city’s tagline “City of Good Living” bordered with a laurel leaf design. The coin will serve as a thank you, congratulations, honor or mark of important circumstances.The City Council approved the city coin 3-2 in April 2011, with councilmen Bob Grassilli and Matt Grocott dissenting. Both Ahmad and then-councilman Randy Royce committed their $300 stipends toward the $2,500 cost of producing 300 coins. 

Iraq to redesign banknotes and delete some zeros from the dinar.

Buy silver because it's only $30 an ounce; and it's a bargain. YMMV.

...... 6:30 am

More information on Lincoln's last check, written the day before he was assassinated, found in a bank vault in Ohio:

The checks had been stored in a vault since at least 1983, when Huntington took over another bank, the Associated Press reports.

An employee had begun looking through old boxes last year, which led to the discovery of the checks.

A Union Commerce president had developed the check collection, Huntington spokeswoman Maureen Brown told The Associated Press.

Huntington officials decided last year to start publicly displaying some of the checks after an employee looking through the collection was struck by their historical significance.

The employee suggested that they really needed to be shared with the general public, Brown said. 

Huntington had not forgotten the checks' existence, but 'through the years - as employees left and new ones came in - the actual value of the checks hadn't been recognized,' she said.

Lincoln's last check. UK Mail Online

The Museum of London is putting its collection online:

The Museum of London is currently working on an ambitious funded project to deliver over 90,000 of its objects online over the next two years, showcasing its diverse collection and opening it up to a worldwide audience. As part of Collections Online, the museum’s 4000 strong Roman numismatic collection is currently being digitized and will be made available to the public in August 2012.

Celtic coins from the Sunbury Hoard. CoinsWeekly.

The collection consists of finds from all over the city and beyond, comprising hoards and single finds, as well as a significant contribution from the collection of the 19th century Londoner, antiquarian and collector, Thomas Layton. The collection boasts some fine examples of gold, silver and bronze coins, spanning no-less than seven centuries, from a second century BC silver denarii of the Roman Republic, to a gold solidus, issued by the sixth century Byzantine emperor, Justinian I.

Gold in the news. Most predictions, not but all, are positive but not wildly so:

• Barclays positive on gold, but medium-term technical view neutral
• Gold needs safe-haven flows to avoid negative footing
• Mining companies say gold price to peak at $2,000/oz. in 2012
• Gold to consolidate at lower price levels - may fall to $1200

United Rare Coins & Precious Metals has redesigned their website.

Gold may go up, but copper is the favored base metal for 2012:

Gold will average $1,845 an ounce, Melbourne-based analysts Peter Richardson and Joel Crane said in a report today. While that’s 16 percent below their earlier forecast, it compares with today’s spot price of $1,657.98 an ounce at 5:28 a.m. in London. Copper may average $3.70 per pound ($8,157 per metric ton), 3 percent less than an earlier prediction. Morgan Stanley is bearish on lead, nickel, aluminum and zinc amid surpluses.

January 16, 2012

About that need for new U.S. coin compositions ...

An internationally acclaimed contemporary visual artist and illustrator has created six 'celebratory' coins for the Royal Canadian Mint:

Taxali is known for his reinvention of pop art and iconography reminiscent of the 1930s with comparisons to pop culture masters like Keith Haring and Andy Warhol. Fine art, pop culture and 1930s style iconography and graphics are intertwined in the unique retro style of the coins. 

The Taxali designed coins are a unique and marked departure from the Mint’s usual coin designs with a more edgy, vintage yet contemporary style. Each coin is like a miniature collectible piece of Taxali art with the artist’s initials engraved on the coin that will excite Taxali fans worldwide. 

‪The coins feature Taxali’s recognizable pop culture imagery infused with his retro graphic vintage style. The words “25 Cents”, “2012” and “Canada” are depicted on the coins in Gary’s famous font called “Chumply”, the first time the Mint has allowed an artist to change the typography on coins.

Celebratory coin design from the Royal Canadian Mint. Art Daily.

If the experts agree, what could go wrong? "Many experts expect precious metals to perform well in 2012".

One of three known, an undated silver 8-real coin of Mexico City is the highlight of the Ira & Larry Goldberg Auctioneer's Jan 31 - Feb 1 pre-Long Beach Auction:

The coin, issued in the name of rulers Charles I (Carlos) and his mother, Johanna (or Joanna), has puzzled experts who cannot agree whether it was a regular issue or a trial piece, according to Ana Lonngi de Vagi, writing in Money of the World: Coins that Made History, edited by both Goldbergs.

“The cross potent above the pillars on the reverse, in lieu of the 8 of the value, suggests that this coin was a trial strike not intended for circulation,” she writes.

Coin World.

Heritage has posted a press release of the results of the NYINC World Coins auction:

A unique South African bronze 1928 pattern sovereign, graded Matte Proof 64 by NGC, brought $184,000 as the top lot in Heritage Auctions’ $10.7+ million Jan. 2-3 World & Ancient Coins Signature® Auction at the Waldorf-Astoria Hotel held as part of the New York International Numismatic Convention (NYINC). All prices include 19.5% Buyer’s Premium.

South African bronze pattern sovereign. Heritage Auctions.

“South African numismatics are quite hot and the prices in this auction show that, led by this beautiful pattern sovereign,” said Cristiano Bierrenbach, Vice President of Heritage Auctions. “This coin appealed broadly to collectors worldwide, for a variety of reasons, and ended up more than doubling its pre-auction estimate of $40,000+.”

The $10.7 million total prices realized came from more than 2,580 bidders vying for more than 2,250 lots in the auction, translating into a sell-through rate of 87% by value. While the NYINC World & Ancient Coins auction was happening, Heritage was conducting its annual FUN U.S. Coins and Currency auctions in Orlando, FL. The Currency section of the FUN auction realized $7.64+ million, with a 93.7% sell-through rate by value, while the U.S. Coins section realized approximately $64 million, also with a 93.7% sell-through rate by value, lifting Heritage’s New Year’s Week’s total to well above $75 million.

...... 2:45 pm

The coin of the Archipelago Province and Fishermen, from the Mint of Finland:

The Åland Coin tells a story of a small archipelago province with a mosaic-like nature that enchants its visitors. The archipelago province is situated east of the Sea of Åland and south of the Bothnian Sea. East of Åland is the Archipelago of Turku in the Province of Varsinais-Suomi. Åland consists of over 6,700 islands and islets, 6,400 of which have an area exceeding 3,000 m2.

Today, Åland is an autonomous province of Finland, a popular tourist destination particularly in summer when this archipelago province is at its most beautiful. The reverse side of the Åland Coin depicts the historical coat of arms of the province. ...

The U.S. declares war on the Coeur d'Alene Mining District, apparently:

We were ruminating, fulminating on these weighty questions last week. Pretty clearly, the opening salvo was fired in the final decade of the 19^th Century, when Federal troops were dispatched under a declaration of martial law to lock up 600 miners here who were striking for decent wages.

Then of course during World War II there was the undeclared conscription of lead and zinc miners here who were prevented from taking better paying jobs in the shipyards of Puget Sound to keep wresting rocks from our earth that could be smelted into bullets and cartridges to kill Germans and Japanese. ...

PGMs to get boost from more active auto sales.

They're out there but "the proportion of euro banknotes counterfeits still very low":

The European Central Bank has said that in the second half of 2011 a total of 310,000 counterfeit euro banknotes were withdrawn from circulation. This means that the overall quantity of counterfeits withdrawn from circulation in 2011 was 19.3% lower compared with the figures for 2010. At the same time, there was an increase of 4.7% as regards the quantity recovered in the second half of 2011 compared with the previous six months.

When compared with the number of genuine euro banknotes in circulation (on average 14.4 billion during the second half of 2011), the proportion of counterfeits remains very low. ...

Not all FUN auctions set record prices:

While the two seven-figure coins offered at Heritage Auctions’ 2012 Florida United Numismatists auctions — a 1793 Flowing Hair, Chain, With Periods cent graded Mint State 65 brown and an 1829 Capped Head half eagle graded Proof 64 — both brought $1.38 million, multiples more than their last times at the auction block, not all lots established record prices. ...

In contrast, the Duckor Collection’s top lot, a 1921 double eagle graded MS-66, realized $747,500 — big money, but less than the $1,092,500 that a peer example brought as part of the Philip Morse Collection in 2005. Duckor’s coin had last appeared at auction in 1984 where it brought $57,500. ...

Veteran English stamp dealer Stanley Gibbons is now selling coins and medals.

...... 5:55 am

"Owning gold should make financial crises fun". But don't gloat.

Goldman Sachs is still looking for $1,940 gold in its 12-month target.

Uruguay has a new 500-uruguayo banknote (image only):

Uruguay 500-uruguayo banknote. Banknote News.

Buyers queue up for Year of the Dragon commemorative coins:

People scrambled Monday to snap up coins sets minted to commemorate the Year of the Dragon, forming long lines outside branches of Bank of Taiwan, the only authorized seller of the coins. 

Bank of Taiwan public relations staffers said the lines of people waiting for the coins at its branches were longer than ever before. 

One elderly man surnamed Wu, who was born in the Year of the Dragon, said he had to wait four hours in line but still felt the purchase was worth it. ...

Year of the Dragon coin buyer. Focus Taiwan.

"It's a right Royal Mint rip-off":

The Royal Mint stands accused of ripping off the public through sales of coins as collectables. Even the latest Olympic issue is affected, it is claimed. 

The problem has become so outrageous, says the UK's leading dealer in the secondary market in non-gold coins from the Royal Mint, that he has announced a boycott.

The Royal Mint have issued a statement defending their issues and pricing, but Richard Lobel, managing director of London-based Coincraft, who has been involved in the coin collecting world since the 1950s, told ATG: "Their prices are often four times what they should be. Many of the limited issues are worth considerably less than the ticket price at the point of sale, with absolutely no hope of ever recouping the cost, let alone seeing values rise beyond that."

Mr Lobel, who has emailed fellow members of the trade to let them know about the boycott, told them: "Let the Royal Mint buy back their own material. I am tired of having to tell collectors that, the silver proof £5 they bought from the Royal Mint at £99.50 is only worth £20 in the trade."

He sees the problem as little less than a scandal. "The Royal Mint is either incompetent in setting prices or cynically exploiting non-expert buyers who think they are getting something special." ...

'Skinny' burglar squeezes through bars on the front door to enter a Des Moines coin store.

New Zealand to change mining laws to facilitate exploration and extraction.

Not a VAM collector but this story of the 1878-S Morgan silver dollar, VAM-18, is interesting for the history.