As I write this, I see that gold is trading at $1568 an ounce, while silver is barely over $27.  If you follow these markets at all, you might recall that not too long ago, gold was nearly $2,000 while silver was pushing $50.

If you attend coin shows, you have observed that many, if not most dealers are reporting that about all that any one is wanting is silver and gold bullion items.  This would include American Silver and Gold Eagle coins as well as “junk” silver coins.  Junk silver coins are common date coins from before 1965 that were made of 90% silver.  Because hundreds of millions of these were minted, most are not rare and have little collectible value, so they are saved for their silver content and they represent a great way to invest in silver.  What does this have to do with coin collecting? Plenty, if you are true coin collector!

This means that the feeding frenzy for silver and gold has actually lowered the demand somewhat for truly collectible coins—the coins produced in a lower mintage and that are necessary to complete a set.

Here are some concrete examples of this.

First, copper coins and nickels are deader than a doorknob right now.  Since there is no gold or silver in them, their demand is down.  This is also a great time to buy them, if you’re putting together a collection.  I saw an ad in a national coin magazine the other day.  The company had full rolls (40 coins) of buffalo nickels with dates for less than $22 a roll!  That’s 55c a coin!  Before the current gold and silver craze, these would cost you $80 to $100 a roll.

Key date cents, too, are languishing at this time.  This is a great time to look for those holes in your sets.  Be aware, though, that some of the eBay prices are still too high.  There are bargains out there; don’t get in too big of a hurry to buy.  Use the “make an offer” button and you might be pleasantly surprised.

Another example of the depressed prices of key date coins . . . a Mercury dime has about $2 worth of silver in it.  However, the 1916 D Mercury dime, the key to the series, has a book value right now of about $700.  The other day, I jumped on a certified example for less than $350!  Yes, there are bargains out there during these tough economic times.

Right now, if you’re a collector rather than a gold or silver hoarder, it’s a great time to look for coins to fill the key date holes in your collection.  Be patient, look around, and don’t hesitate to negotiate.  It’s a great time to buy!

Learn more about coin collecting at one of our meetings.  The Brown County Coin Club meets on the second Tuesday of each month, at 6:30 pm, at Principally Coins & Metal Detectors at 3002 Early Boulevard, across from Eastlawn Cemetery. There’s probably at least one club member who shares an interest with you and would encourage you.  Get involved in making your own unique coin collection!

The Brown County Coin Club hopes to see you on Tuesday, April 9, for their next meeting.  Call Robert Rollins 325-201-6390, or Bob Turner at 325-217-4129 for more information.