Mint News Blog

News, Information, and Commentary on US Mint Products

Wednesday, September 2, 2009

US Mint Gold Coin Price Increase


The price of gold has been in a steady range for much of the summer, mostly below the $950 level. This has kept the US Mint's current gold coin offerings at steady prices since mid-June. The past week's gold prices suggest that the US Mint will be raising the prices for their numismatic gold coins tomorrow today.

Under the US Mint's pricing policy implemented on January 12, 2009, the prices for gold and platinum numismatic products can be adjusted as often as weekly if the average price of the metals move across certain ranges. For the past few months, the average price of gold has remained in the $900.00 to $949.50 range. For the past few days, gold has been solidly above the $950 mark, pushing up the average. The following are the London Fix prices for gold over the past week. Note that Monday was a UK bank holiday so no prices were determined.

AM Fix PM Fix
Thurs Aug 27 943.50 943.00
Fri Aug 28 950.75 955.50
Mon Aug 31 N/A N/A
Tue Sept 1 949.75 955.00
Wed Sept 2 955.00 964.75

The AM and PM Fix prices listed above yield an average of $952.16, which suggests that a price increase is in the works. Pricing for the $950 to $999.99 average gold price tier would set First Spouse Gold Coins at $654.00 for proof coins and $641.00 for uncirculated coins. The 2009 Ultra High Relief Double Eagle price would increase to $1,339.00.

The US Mint's policy states that price adjustments will be effective at 10:00 AM ET on Thursday. However in practice they have sometimes increased prices as early as 12:00 Noon ET on Wednesday.

One last thing I wanted to note about the pricing policy. The information posted in the Federal Register about the new policy repeatedly states that the average of the London Fix prices will be taken covering "previous Thursday A.M. Fix through the Wednesday A.M. Fix." Most have been working under the assumption that PM Fix prices would also be included in the average. Gold prices are "fixed" twice a day at 10:30 AM and 3:00 PM London Time.

If the US Mint is only considering only the AM Fix prices for some reason, then the average price for this week would be $949.75. This would keep gold coins at the current prices. This week's price change (or lack of change) will at least settle this ambiguity in their policy.

Update: Within a few minutes after posting this, the US Mint has temporarily suspended sales of all gold coins for repricing. This settles the question about the inclusion of PM Fix prices. It also establishes once again that the US Mint changes prices about a day earlier than the policy states.

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13 Comments:

At September 2, 2009 at 8:06 AM , Anonymous Anonymous said...

Apparently, the PM fixes are included as well. I just checked the Mint's website, and the UHR is "Temporarily unavailable for product repricing."

 
At September 2, 2009 at 8:12 AM , Blogger Michael said...

That was quick... So much for the 10:00 AM on Thursday price adjustment.

 
At September 2, 2009 at 8:43 AM , Anonymous Anonymous said...

It is all YOUR fault, Michael! You had to to remind them, didn't you?

 
At September 2, 2009 at 8:46 AM , Anonymous Anonymous said...

So much for temporarily unavailable. The price is now $1339 with an availability of 9/17/09

 
At September 2, 2009 at 9:03 AM , Anonymous Anonymous said...

I had decided to pick up a UHR, and just made it in under the wire this morning. It was already too high before the price increase, but decided to pull the trigger anyway.

 
At September 2, 2009 at 9:39 AM , Anonymous Anonymous said...

I figure the Mint feels they HAVE to change the prices on their gold coins as soon as they realize that they will be going up. Otherwise, how can they protect themselves against an influx of purchases at the lower price from savvy collectors who are smart enough to do the math themselves and KNOW ahead of time that a price increase is coming down the pike? They would stand to lose a lot of their gouge money that way! :)

 
At September 2, 2009 at 11:47 AM , Anonymous kbsig106 said...

Picked up two MS Jackson First Spouse coins yesterday. The possible $30 price increase (now a reality) and the coin going off the market when Polk is released where two strong reasons.

I'm happy I placed the order now.

 
At September 2, 2009 at 6:57 PM , Anonymous Bocephus said...

Yeh they didn't waste any time hey?

 
At September 3, 2009 at 5:09 AM , Anonymous Anonymous said...

The US Mint's pricing policy is the only example of the US Government being proactive about anything!

 
At September 8, 2009 at 7:57 PM , Anonymous Anonymous said...

Not to break off the subject.But,has anyone heard when or if the US Mint will be producing the Annual Uncirculated Dollar coin sets this year?If so When?

 
At September 8, 2009 at 8:03 PM , Anonymous Anonymous said...

Seems the US Mint thinks that gold is 1300.00 an ounce now.HMMMMMMMM? Seems the whole world thinks differently right now.HMMMMMMMM? I guess if they can get 7.95 for four pennies.Why not sucker everyone in on inflated gold prices too.NOT ME
!!!!!No sucker here!!!!!

 
At September 11, 2009 at 7:49 AM , Blogger Michael said...

"But,has anyone heard when or if the US Mint will be producing the Annual Uncirculated Dollar coin sets this year?If so When?"

This set wasn't listed in the products specifically discontinued at the end of last year. I haven't heard anything else about the set to indicate it would be discontinued.

What's holding it back now is the 2009-W Unc Silver Eagle, which is still unreleased, but expected soon. Once the US Mint has a release date for this coin, maybe they will have some info on the Annual Dollar Set.

 
At September 16, 2009 at 4:41 AM , Anonymous Anonymous said...

Here comes another price increase for gold products from the mint...

 

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