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Grade Inflation or Why is midrange UNC gold all junk?
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<p>[QUOTE="Burton Strauss III, post: 25300648, member: 59677"]The intrinsic (gold melt) value swamps the numismatic value and makes them useless except for bullion.</p><p><br /></p><p>If you look at common date gold price guides (let's table the discussion about price guides - I admit it's a bit of a circular argument)...</p><p><br /></p><p>Let's at random use a 1923 $20 (Double Eagle) which is considered common up to MS63.</p><p><br /></p><p>From XF40 up to MS53, there is a $5 increase per grade (including plus)... it goes to $10 then $15 then $25.</p><p><br /></p><p>XF40..... $2,430</p><p>MS60..... $2,550</p><p><br /></p><p>They are all the same just less than an ounce of gold, thus each grade is just a trivial increase in numismatic value.</p><p><br /></p><p>Certainly, there is a premium over price guide for nice coins. But run of the mill... it's bullion value plus a skosh.</p><p><br /></p><p>The jump from MS63 ($2,700) to MS64 ($3,000) to MS65 ($6,250) to MS66 ($85,000) is where you finally see numismatic value.[/QUOTE]</p><p><br /></p>
[QUOTE="Burton Strauss III, post: 25300648, member: 59677"]The intrinsic (gold melt) value swamps the numismatic value and makes them useless except for bullion. If you look at common date gold price guides (let's table the discussion about price guides - I admit it's a bit of a circular argument)... Let's at random use a 1923 $20 (Double Eagle) which is considered common up to MS63. From XF40 up to MS53, there is a $5 increase per grade (including plus)... it goes to $10 then $15 then $25. XF40..... $2,430 MS60..... $2,550 They are all the same just less than an ounce of gold, thus each grade is just a trivial increase in numismatic value. Certainly, there is a premium over price guide for nice coins. But run of the mill... it's bullion value plus a skosh. The jump from MS63 ($2,700) to MS64 ($3,000) to MS65 ($6,250) to MS66 ($85,000) is where you finally see numismatic value.[/QUOTE]
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Grade Inflation or Why is midrange UNC gold all junk?
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