The United States Dollar is gaining some significant strength today after the Japanese Finance Minister mentioned that confidence in the debt of the United States is “unshakable,” and that the dollar’s global status is secure, yet many investors are still deciding to buy rare coins that have shined with their short-term and long-term preservation potential in the past few years. Typically, when the United States Dollar strengthens, gold decrease in value due to lower demand for the safe haven metal. This is exactly the type of market movement that we are seeing today as investors are flocking away from gold in exchange for a temporarily strengthening dollar. The only odd thing about today’s market is that many investors are still looking to buy rare coins despite gold’s tumble because coins like the $20 Saint Gaudens and $20 Lady Liberty have shown a great amount of resilience to the volatility of the gold spot price. It appears that these coins are increasing in popularity quite well amongst American investors who seek wealth preservation instead of profit. If you are looking to buy rare coins for this same purpose, make sure that you fully research the market and learn your options before making a purchase in order to potentially maximize your investment.
By around 11:30 AM Eastern Standard Time, the gold spot price has taken a hit for the trading day as it continues on its losing streak, currently sitting at around $942.10 per ounce, decreasing $12.40 or 1.30% for the day, yet still increasing $15.90 or 1.72% in the last month.
John Halloran
Senior Gold Specialist - Buy-Gold.org
