Legend Numismatics Market Report…
Think about this, there will be FIVE major auctions in October. Our Simspon/Sunnywood sale started the action. Then the majors each have 2 sales. Never before do we recall that many major sales in a month. It is a mixed blessing.
Watch, all the really great, rare, and eye appealing coins will easily reach record prices. Coins like average dullish MS66 Barber Quaters, will do just ok. And Anything that is low end, drecky, or commoner-will sell for weak prices. We warn collectors-especially wannabe dealers/collectors who think they are so smart, buying the weak coins out of these big sales cheap-will NOT yield you any instant profits. In fact, those will take longer to have healthy pricing as the market clearly is spanking them for being substandard.
There is no question in our eyes the market is flooded with widgets and dreck. However, there is also no question the cream is rising to the top-and that is where most of the action is. We know that many dealers have had bad Septembers and so far dismal Octobers. This past week there was a small St Louis show. Its normally pretty good. Our “super stealth” seller told us it was hard just to get people to look. Its all a matter of what you handle. If you have been following our Market Reports, we told you-its a buyers market in many areas right now.
GEM Bust Type, rare gold, rare Morgans (last week LRCA sold a 84S PCGS MS64 for $164,500.00 and a 95O $1 PCGS MS65 for $258,000.00) have seen NO impact (to name a few areas). Generics and semi generic coins are suffering badly as the price of gold clearly has corrected. Dealers have pulled many bids on coins like these. We were shocked to hear a NON CAC $5 PCGS MS64 Indian has dropped to $1,800.00 BID. Less then 2-3 weeks ago they were $2,500-$2,700.00.
Gold is making a slight come back. The price is slightly rebounding and certainly has stopped its skid. The gold bugs are starting to stick there heads out from their hiding places. Deep down we are probably gold bugs, we have liked most gold all along. At todays prices, we can’t understand why more people are not buying all they can. We do think now that the stock market seems to be near done with its crazy correction and the price of gold has stablizd, you’ll see most generics in demand again, thus we expect slight price increases.
Our best advice, stay your collecting course and pick and choose your spots. There is no need to buy widgets or marginal coins-especially out of auctions. You can get some really great deals buying from your local dealer right now. And how can you not buy generic and semi generic (bigger price swings) at todays levels? Unless its a Want List coin (or something off the chart sexy), we too are buying generiic and semi generic gold (PCGS CAC ONLY) at todays prices. We’ve stopped loading up on other widgets or coins that we like but are slow sellers right now. We do practice what we preach!
We see the market overall as slight improving through the end of the year. October through early Dec typically is one of the most active times for the market. We wish we had an extra $1-2 million to spend-the potential we see right now in our area of the market is staggering!