US Gold Mint: Price Cuts for Gold Coins

As of September 20, 2011, US gold mint American Eagle Proof coins were expected to witness price cuts. The reason for the price cuts are the volatile, but lower trending gold prices that has been prevalent over several days. The price cuts will also depend on the London Wednesday AM and PM gold fixing, which must remain at or below $1,838 an ounce and below $1,800 an ounce respectively. When gold prices move outside a predefined range, the gold coin prices also move accordingly. When both the conditions are met, the US Mint sets prices for collector gold coins, based on the lower range of between $1,750 and $1,799.99. In that case, the following gold coins will see price reductions:

• Proof First Spouse Coins
• 1 oz Uncirculated American Gold Eagle
• Uncirculated First Spouse Coins
• 1/10 oz Proof American Gold Eagle
• 1/4 oz Proof American Gold Eagle
• 1/2 oz Proof American Gold Eagle
• 1 oz Proof American Gold Eagle
• 1 oz American Gold Buffalo
• Proof American Gold Eagle 4-Coin Set

The price cuts in the collector gold coins may range from $5 to $92.50. Before the implementation of the new prices, the Mint will freeze product ordering in the late morning. With the gold prices decreasing, the Mint also reduced the American Eagle Platinum Proof coin by US$200. During the price adjustment period, customers cannot purchase or order the purchase of the affected product.

The US Mint is also expected to put double-sized cuts on the following gold coins: Uncirculated First Spouse Coins, Proof First Spouse Coins, American Gold Buffalo, 1 oz Uncirculated Gold Eagle, 1 oz Proof Gold Eagle, 1/2 oz Proof Gold Eagle, 1/4 oz Proof Gold Eagle, 1/10 oz Proof Gold Eagle and Proof Gold Eagle 4-Coin Set.

The price reductions are expected to range from $10 to $185.00. The 24-karat, half ounce, First Spouse coins expected to be affected include both the proof and uncirculated versions of coins honoring Eliza Johnson, Julia Grant and Lucy Hayes as well as the proof of Mary Todd Lincoln (Lincoln’s uncirculated version is no longer offered).

US Gold Mint: Commemorative Gold Coins

According to the US Mint, it also witnessed decrease in the sales of investment gold coins in September 2011. It sold 115,500 ounces of the bullion American Eagle gold coins in September, compared to the 167,500 ounces of the coin sold in August 2011. The most popular US gold mint coin, bullion American Eagle gold consists of 916 parts-per-thousand (91.6%) gold. The less popular bullion American Buffalo coins, which contain 9999 parts-per-thousand (99.99%) of gold, also saw decreased sales, with 28,000 ounces sold in August and just 13,000 ounces sold in September. (The prices paid for US gold mint bullion coins depend on individual dealers, as these coins cannot be bought directly from the Mint). Besides, the US Mint’s investment-grade coins, including the bullion the 24-karat American Buffalo and 22-karat American Eagle coins, also do not have a fixed weekly price. They are simply sold for a small amount over the current price of the precious metal.

The sales of commemorative gold coins (US Army and Medal of Honor coins) were also suspended by the US Mint as of August 15, 2011. This is because the Mint plans to develop a new pricing structure specific to these commemorative coins (like those for American Eagle, and American Buffalo gold coins), in the currently volatile market situation.

With investments in the right US gold mint products, you not only widen your portfolio, but also inherit a piece of history.