US Mint to Cut Gold Coin Prices Now, Hike Premiums Later

by Mike Unser on February 20, 2013 · 10 comments

American Gold and Platinum Eagles

The U.S. Mint will reduce its gold coin prices on Wednesday, but new gold and platinum releases will have higher premiums

Gold plunged last week and hit a six-month low this week. Its downward spiral will trigger United States Mint pricing cuts for certain gold coins by noon ET Wednesday, Feb. 20.

Separately, the U.S. Mint has announced new pricing for gold and platinum products. Changes include higher premiums that will go into effect on Wednesday, Feb. 27.

As for the lower gold coin prices, right now that will include just eight coins — the four proof and the four uncirculated 2012 First Spouse Gold Coins. No other U.S. Mint gold coins for collectors are available since the proof American Gold Eagles and Buffalos have sold out and the 2013-dated versions are not scheduled for release until April and May.

Since Dec. 19, the U.S. Mint has priced its collectible gold coins based on London gold Fix prices that have averaged within $1,650.00 to $1,699.99 an ounce. Gold has dropped well below those levels during the last several days. As long as the Wednesday PM fixing is under $1,650.00, the U.S. Mint will trim First Spouse Gold Coin prices by $25. The four proof gold coins will move to $979.00 from $1,004.00, and the four uncirculated gold coins will change to $966.00 from $991.00.

Update: As expected, the United States Mint on Wednesday did lower coin prices.

As for the higher premiums kicking in on Feb. 27, the changes involve a new U.S. Mint pricing grid that lists gold ranges and higher coin prices within them. If the new grid was in use today, prices for the spousal proof coins would be $36 higher and the uncirculated coins would cost $29 more. In other comparisons:

  • this year’s one-ounce proof American Gold Eagle will have a premium that amounts to $40 more than last year’s issue,
  • the uncirculated American Gold Eagle rises $47,
  • the proof American Gold Buffalo jumps $80 and
  • the proof American Platinum Eagle advances $58-$108, with Eagle prices changed based on $50 movements in platinum instead of the $100 increments that are used now

To see other comparisons, click here for current price grid and click here for the upcoming price grid.

{ 10 comments… read them below or add one }

Mike February 20, 2013 at 9:08 am

Silver is 28.88 and going down. Why dose the mint never look at adjusting silver lower. Soon as is goes up ten cents they adjust it up. Never down. They would move alot more products if they adjusted the silve to the market.

The mint needs to look at this closer and think more about the people supporting them then the greed money that goes into there pockets.

RonnieBGood February 20, 2013 at 9:34 am

Greed in the Government? Say it is’nt so!

Then again it is the only money making branch of the Government…

Mike February 20, 2013 at 10:29 am

both great comments! Looks like if one wants the best deal going forward in collecting gold the spousal coins are it. With the proposed premiums coming soon I may have bought my last “collectable” eagles and buffalo. Time for me to just spend my money on bullion.

jim February 20, 2013 at 10:57 am

With these new premiums for gold and platinum they’d better come out with a palladium coin pretty soon. I wonder if the US Mint has colluded with other world mints in raising their prices or if Ottawa and Perth will continue on with their soon to be cheaper premiums.
Let’s see, if the new price of the proof spouse coin will go down $25 on 2/21 based on the price of gold and the new premiums will add $36 on 2/27 because the mint wants to charge more, then the price of gold will have to go down another $100 for the proof spouse coin to be less than what it will be on 2/21. So far gold has dropped $40 in just 7 trading days (2/12 – 2/20) – will it drop another $100 in the weeks to come? I’m thinking I’d better buy my Alice Paul before 2/27.

Mike February 20, 2013 at 3:00 pm

Are you building the complete set? I started but the rising cost since they first came out and now this new mint premium increase has me seriously considering in stopping.

I was wondering about what we will see with RCM and PM as well???

Boz February 20, 2013 at 3:05 pm

It is almost as if the mint is getting out of selling premium gold coins altogether. Really odd to stop sales of a product line for six months or more. Maybe the government is pushing gold down to $800 or lower, stock Ft Knox back up, then sit and wait. Or is the plan to stop direct retail sales of gold except thru the authorized purchasors?

Bubba February 20, 2013 at 4:52 pm

Another 5 oz is sold out. Arcadia is shown as sold out and it might have a lower mintage than Hawaii.

jim February 20, 2013 at 6:30 pm

Mike – not building a complete set. At the beginning I considered buying only the no spouse Liberty’s (because of the anticipated costs) but missed out on the Jefferson spousal Liberty coin so that fell through too. I view the Alice Paul coin as a Suffragist commemorative coin that doesn’t really fit in with the no spouse Liberty series and therefore a unique coin within the spouse series and the no spouse Liberty sub series. It’ll be the only spouse coin I’ll get.

Mike February 22, 2013 at 12:16 am

Jim, Now that is pretty insightful! Hadn’t even considered that perspective! I think you’ve given me a reason to buy the Alice Paul coin. Thanks!

Kahoola February 24, 2013 at 11:42 pm

Suspect that the mint probably bought the silver to make the ATB coins at a much higher price. Say they bought at $35/oz and now it is $29. The bullion coins are probably selling for a loss costing as much as $180 and now selling for $160 to the prime dealers. The collector versions might also be selling for a loss if they dropped the price. The loss would be greater if they struck more of the coins. Suspect that is one of the reasons that the production numbers have dropped off, too much risk of large losses from silver price fluctuations.

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