I collect copper pennies from time to time but I never buy any of those 1 oz copper rounds or bars including the 1 lb bars. Even at 0.99c per 1 oz round is ridiculous! 1 oz of pure copper is $0.14 ($2.27 per lb). So the price of copper per lb would have to reach $16.00 just to break even. So why are people buying these "copper bullion" options? And why are people defending it as if its a good investment? And I never buy copper pennies from eBay, JM, APMEX etc etc either. Waste of good $ IMO that should be used for PMs if looking to invest in metals. Provident Metals has a 10 lb copper bar for $52.44 + SH. Yet 10 lbs of copper is $22.70 @ today's price. What are your opinions on this "Copper Bullion" marketing scam? I'm curious to know/see what people here think...
To each their own - but if you want affordable copper bullion, you don't get it buying that stuff it appears. I never considered it. Too big and bulky to store for the money. These companies have to cover shipping costs as well. On a 1oz bar of gold that costs $5 to ship, they make around $40 to $60 premium. Shipping at 1-2% over spot just doesn't make financial sense (to buy or sell imo). At 50% over spot, it's highway robbery.
Look in your penny jar. About one in five will be a pre-1982 penny and they are 95% copper. At these prices, a 95% Cu penny is worth about 1.5 cents. If you don't enjoy the hunt for pre-1982 pennies, you're not gonna be a copper bullion investor.
The other day I saw a monster box of 500 1oz copper rounds for 499.99. There's only $70.93 worth of copper in that box based on today's price per lb. so are people really buying a $500 box on a $70.93 metal value? Lmao
I will admit that I would buy this "copper billion" if I could get for the actual value of 1oz of copper ($0.14). And not $0.99 or $500 for a monster box of only $70.93 of copper.
I rarely buy copper bullion. The only time I do is if I am collecting a set that I like; e.g., copper bullets (not real) that I think are cool, or one that has the Second Amendment quoted on it. (No political statement intended, at least not at this time or forum.) But the "1 oz of pure copper is $0.14 ($2.27 per lb)" is incorrect. That is the base price on “paper contracts” for the delivery of copper sold by the ton. This price, $2.27/lb., has no relevance when you buy purified rounds or bullion. [1] Unlike gold and silver, which melt easily and do not oxidize as easily as copper, copper immediately oxidizes when heat is applied. So special techniques and chemicals are used to produce copper without bubbles or contaminants. [1] The bars you buy at higher prices are actually worth more than the spot price on copper because they have been purified. [1] So, while I agree that most copper rounds are over-priced, if you see one you like aesthetically, and the price is acceptable, then why not buy it. My second point is, if a buyer is willing to pay "10 lb copper bar for $52.44 + SH," then there is a market at that price so you may always resell it; that is, the value of copper rounds is the price people are willing to pay, not the spot price. Just my thoughts to add to the discussion. [1] http://www.blog.providentmetals.com...y-are-premiums-for-copper-bullion-so-high.htm
better to just save copper pennies, i see people at the flea market trying to get $6.00 each out of copper rounds, they don't like it when i mention that copper is like 2 something a pound and it takes 16 of there 1 ounce copper rounds to make a pound. it is about as bad as people who pay $60-$100 and ounce for silver "1 grain" and "1 gram" bars, or people who pay spot for worthless "100 mills silver layered" bars
mercedes86david: I agree. I would not pay $6 for 1 oz., modern copper rounds. But if I see one I like, I would pay $1-$3. Copper rounds are not good as an investment to play the copper prices, as alucard86 (who started this thread) pointed out. And Ken454's link showed some cool copper.
there are some cool designs out there but they are a very bad investment i think, i have an "american eagle" 1 ounce copper round but i did not pay a dollar for it, copper cents are the way to go, you can get them for face and they sell for 25-50% over face, which is better than paying WAY over spot and then trying to get someone to pay the same should you every need to sell. they are cool to look at but i wouldn't buy rolls of them
I will stick to the copper pennies and junk silver US coins, and 100% avoid copper rounds and bars. You can't melt US pennies so there's billions around. If you really want to make a real investment in copper I guess just dress up in all black and go to a construction site or new home model on a moonless night, and steal the copper pipes and wire bundles.
I'll also stick with my 9mm, .40SW and .45 ACP ammo at about 0.20c per round versus paying $0.99 per 1 oz of copper rounds. Ammo is a much better bartering currency than copper rounds lol.
I bought a couple of the 1 pound and 1/2 pound bars as a novelty, not as an investment. As a plumbing contractor I'm well aware of the copper prices. The bars are kinda cool, I gave some away to friends.
Sometimes we here in the bullion forum obsess too much with the "spot price" of a metal. If you like a copper round that is selling for $1, who cares if it's only got $0.14 worth of copper in it? Heck, my kids just used their lawn mowing earnings to buy a few Minecraft figurines. They were $4.99 each and they are about the size of a jelly bean, made out of soft plastic, rubber, or latex, I don't even know. I looked at them and quickly figured out that someone is selling plastic for more than silver, by weight. But it's what they wanted to spend their "hard earned" money on, and they like them, so it's all good.
Yeah but that has a name brand and IP attach to it as well. So you're paying for the name and IP attach to it. Look at Legos. These copper rounds/bars are from private mints that aren't supposed to carry large premiums like buying Sunshine Mint silver rounds. But b.c minting copper is much harder than silver/gold b.c. oxidation they charge to cover that. Would be great though if the US Mint or RCM decide to mint the first ever Copper Maple Leaf or Copper American Eagle. Then I might consider this copper bullion.
This. I would not advocate buying hundreds, but if someone likes the design for a few bucks who gives a rip? Collectors collect things they like. More power to them. Problem is, when you prepare and strike something there are costs. There are also costs to transport and retail markup. Copper is so cheap what you are mainly paying for is this processing charge. Want to invest in copper? Go to a metal buying place. I am sure you could buy copper at spot there, since they would make more profit selling to you at spot than having to pay to refine it and then sell for spot. Go crazy and buy a few pallets full if that is your thing. My wife would kick my %^%, but maybe yours is more forgiving.
I have a few. I am storing them in various holders to learn what makes a better place to put rarer high quality copper pieces.
