Why do different dates on Silver/Gold coins sell for different amounts if the PM content is the same? & what's a good price?

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fiorgodx's picture
fiorgodx
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Why do different dates on Silver/Gold coins sell for different amounts if the PM content is the same? & what's a good price?

 I was on APMEX and I noticed that a 2011 silver eagle 1 oz was 3.49 over spot, while a 2007 - 2010 were 4.49 over spot. Curiously, 2006 is 3.99. What gives? If they all have the same precious metal content then why wouldn't they be the same price, unless there's a slight numismatic value to older coins?

In the same vein, what is a good price to pay over spot? Seems like most web sites are $4-6 over spot, and my local dealer is around $6.

Travlin's picture
Travlin
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Joined: Apr 15 2010
Posts: 1322
Interesting observation
fiorgodx wrote:

 I was on APMEX and I noticed that a 2011 silver eagle 1 oz was 3.49 over spot, while a 2007 - 2010 were 4.49 over spot. Curiously, 2006 is 3.99. What gives? If they all have the same precious metal content then why wouldn't they be the same price, unless there's a slight numismatic value to older coins?

Fiorgodx

You have made an interesting observation.  I'm not a coin buyer, butI don't see any difference in numismatic value here.  I would guess it is simply a matter of how much supply they have in inventory for the various dates.  As you said, for a buyer of bullion coins the dates shouldn't matter.  I think the experts will be along soon with a better answer.

Travlin 

joesxm2011's picture
joesxm2011
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Paying for Choice

 I am far from an expert, but since no one else has responded I will throw in my uninformed opinion.

I think that APMEX has a policy of charging extra for items that give you a chance to be more specific on what you want.  For example if you look at their 90% silver offerings they charge quite a bit more if you ask for a bag of only Franklin Halves or Mercury Dimes.

A while ago I asked them if they paid more to buy back the bags that they charge extra for and they said that they only pay the price that they pay for mixed bags and they would not pay extra to buy back the bags that they charge extra for.

Also, while not a lot of numismatic value on the ASE, I think that there are enough people that like to collect every year to allow the price to be higher for the older years, combined with the premium for getting the exact year that you ask for.

Joe

NY28's picture
NY28
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[quote=joesxm2011 Also,

[quote=joesxm2011

Also, while not a lot of numismatic value on the ASE, I think that there are enough people that like to collect every year to allow the price to be higher for the older years, combined with the premium for getting the exact year that you ask for.

Silver Eagle Collectors is the reason.  Different years have difference mintage levels. The more rare years command a higher price.  Just look at the price for the 1996 coin.

PastTense's picture
PastTense
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Joined: Dec 13 2010
Posts: 47
Like Retailing in General

Retailers price their merchandize at various markups for reasons such as matching competitors' markups, having loss leaders to attract customers, low stock vs high stock of an item, turnover rates etc. Bullion dealers will do the same.

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