Survey Results: 2010 Coins and Precious Metals Predictions
To finish 2009 and start looking ahead to 2010, Mint News Blog readers were provided with a reader survey which asked questions about US Mint products, coins, and precious metals. The survey results are being covered in an ongoing series of posts.
For the next section of the survey, a series of questions asked for predictions about the coming year. This section will be interesting to revisit at the end of the year to see how accurate the predictions were.
Will the US Mint issue a proof version of the 2010 Silver Eagle?
In 2009, the United States Mint had canceled the proof version of the 2009 American Silver Eagle. The announcement was made in October after a year of uncertainty and anticipation. The Mint cited their legal requirement to produce bullion coins to meet public demand and the lack of a legal mandate to produce the collector coins. They further stated that they would work diligently with suppliers to increase precious metals blank supplies to resume production of collector coins in 2010.
Survey respondents were optimistic with 64.85% predicting that the proof version would be issued for 2010, but prospects remain uncertain. Demand for bullion coins shows no signs of slowing down. The US Mint just began sales of the bullion version of the coin to authorized purchasers on January 19, 2010. On the opening day of availability, 2.44 million Silver Eagle bullion coins were sold, exceeding the full monthly total for January 2009 sales.
Will the overall production of circulating coins for 2010 rise or fall from the number produced in 2009?
For 2009, United States Mint coin production fell to a 45 year low. Economic conditions caused a slow down in commerce and prompted individuals to cash in old accumulations of coins. These factors limited the need for shipments of new coins to the Federal Reserve Banks.
The US Mint and Federal Reserve Banks have predicted continuing low demand for additional circulating coins in 2010. Survey respondents shared this opinion with 61.41% indicating that production would fall for another year.
Will the number of Silver Eagle bullion coins sold in 2010 rise or fall from the number sold in 2009?
Will the number of Gold Eagle bullion coins sold in 2010 rise or fall from the number sold in 2009?
The demand for physical precious metals investments took off during the uncertainty of 2008 and continues to drive heavy demand for gold and silver bullion coins. During 2010, the United States Mint sold a record high 28,766,500 one ounce American Silver Eagle bullion coins. They also sold 1,425,000 ounces through their American Gold Eagle bullion offerings.
Survey respondents were somewhat split about the perpetuation of the upwards trend.
Will the price of gold rise or fall during 2010?
Guess the price of gold on December 31, 2010.
|Price of Gold||Guesses|
|$0 - $500||2|
|$501 - $800||19|
|$801 - $1,000||108|
|$1,001 - $1,250||110|
|$1,250 - $1,500||243|
|$1,501 - $1,750||88|
|$1751 - $2,000||42|
Gold enjoyed its ninth consecutive annual gain during 2009 with a gain of 27.63% during the year. Most survey respondents believed that the price of gold would continue to rise in 2010.
The follow up question asked for an exact price for gold to finish the year. The average guess was $1,375.13. This would represent a rise of about 25%. The median guess came in at $1,350. The most frequent guess was $1,500 with 27 respondent choosing that number.
Other posts covering survey results:
Favorite 2009 US Mint Product and Biggest Disappointment
Mint News Blog Readers Reflect on 2009
2010 US Mint Products and Potential Offerings
Collecting America the Beautiful Quarters
Mint News Blog Readers Look Ahead to 2010