US Mint Gold Coins Poised for $100/oz Pricing Cuts

by Mike Unser on June 25, 2013 · 3 comments

Gold Bars at West Point Mint

A few of the gold bars used to produce gold coins at the U.S. Mint facility in West Point

Plummeting precious metals are likely to trigger U.S. Mint coin pricing cuts that are up to $100 per ounce of gold content and $50 per ounce of platinum content.

Lower prices for platinum and gold coins should kick in at around Noon Eastern Time on Wednesday, June 26, 2013.

Wednesdays are when the United States Mint calculates the weekly average of London fixings for gold and platinum and compares the results to its coin pricing matrix. When those averages fall into different ranges, the bureau responds and moves coin prices up or down.

Precious metals have been volatile this year, resulting in many coin pricing changes. Last Wednesday, June 19, the U.S. Mint cut the price of its proof Platinum Eagle when platinum dropped to within $1,400 to $1,449.99 an ounce. On Wednesday, June 12, the Mint reduced prices for over a dozen gold coins when gold fell to within $1,350 to $1,399.99 an ounce.

Since these adjustments, gold has moved into a coin pricing tier that is two levels down, to within $1,250 and $1,299.99 an ounce, and platinum has dropped one tier lower to within $1,350 and $1,399.99 an ounce. While the AM and PM fixings on Wednesday must still be considered, the following coin price updates are likely to take place:

Update: As expected and at the noon hour on Wednesday, June 26, the U.S. Mint lowered prices on its numismatic gold coins by $100 per ounce of gold content. It also reduced the price of its one-ounce proof American Platinum Eagle by $50. The new coin prices are listed in the "To" column.

Numismatic Products From To
2012-W Proof American Platinum Eagle $1,800.00 $1,750.00
2013-W Proof American Buffalo Gold Coins (1 oz) $1,740.00 $1,640.00
2013 Proof 5-Star Generals $5 Gold Coins $441.90 $417.60
2013 Uncirculated 5-Star Generals $5 Gold Coins $436.90 $412.60
2012 Proof First Spouse Gold Coins $890.00 $840.00
2012 Uncirculated First Spouse Gold Coins $870.00 $820.00
2013-W Uncirculated American Eagle Gold Coin (1 oz) $1,675.00 $1,575.00
2013-W Proof American Eagle Gold Coins (1 oz) $1,710.00 $1,610.00
2013-W Proof American Eagle Gold Coins (1/2 oz) $870.00 $820.00
2013-W Proof American Eagle Gold Coins (1/4 oz) $447.50 $422.50
2013-W Proof American Eagle Gold Coins (1/10 oz) $190.00 $180.00
2013-W Proof Gold Eagle Four-Coin Set $3,167.50 $2,982.50

 

This coin news article will get updated with what actually happened.

Prices for U.S. Mint Silver Coins and Products

A different triggering methodology is used by the United States Mint to set prices for its numismatic silver coins and related products. For the most part, pricing changes in the past for these items have occurred only after very large swings in silver.

London silver fixings this month are off $2.80 based on the current Fix of $19.77 an ounce. It looks like it will take more movement than that for anything to happen. The Mint continues to offer its silver products instead of suspending sales as has happened in the past before re-pricing.

In an interesting development showing that there is some question or at least caution in the air, there is no longer a release date for the 2013 Great Basin National Park Five Ounce Silver Uncirculated Coin. It was previously scheduled for release this Thursday, June 27, for $179.95. A U.S. Mint news statement released on June 20 noted both the release date and price, though it also stated:

"As with all products sold by the United States Mint containing precious metals, the price is subject to change."

Earlier today the coin’s product page said the "Price and on sale date are to be determined." Since then, the price has returned at $179.95 and now the product page states "On sale date to be determined."

In related coin news, sales of the Great Basin bullion version soared on Monday when it debuted. U.S. Mint distributors ordered 25,500 coins, the fastest start this year for a five ounce bullion piece. The level is already well higher than the current 14,200 total for the earlier issue honoring Perry’s Victory and International Peace Memorial. It is only 1,500 shy of matching the total for the first issue of the year celebrating White Mountain National Forest.

Update: Later Tuesday, June 25, the U.S. Mint greatly reduced the sales total for the Great Basin bullion coin to 9,900 from 25,500. Still, the start is quicker than the previous 2013-dated America the Beautiful Five Ounce Silver Bullion Coins. White Mountain bullion coins opened at 8,900 and Perry’s Victory bullion coins debuted at 8,000.

{ 3 comments… read them below or add one }

Mark Hall June 25, 2013 at 7:17 pm

I hope the delay in putting out the Great Basin 5 Oz P quarter is a sign of price reduction. I mean how low does silver have to go for them to drop the price of the silver products? I have been getting at least one P each since I learned of the program since Q4 2012 and the first 2 so far this year – so 4. I was about ready to cancel my 5 oz ATB subscription until this article. I really hope this a signal that they will be reducing it because at this point instead of buying an additional P’s I have been buying the bullion versions. Really wish I would of knew of this program before so I would had a shot at getting the Hawaii one, which is the one I desire the most but the current price of them is so far out of my ability to buy.

wdg5 June 26, 2013 at 9:29 am

Mark,
The decision to price Silver products is based on supply and demand and not fairness or spot market prices. The Silver Bullion has been selling like hot cakes and it is no surprise that the Mint is probably diverting the metal to the production of those coins as opposed to the numismatic products that have your interest. It is for this reason alone that the prices are unlikely to move (that having said, I am in the same boat as you, waiting for the next re-pricing so I can pounce on my fav puck). Keep an eye on sales of Silver Eagle Bullion coins, the day the sales of these fall as a pattern, is when the next re-pricing is likely to happen. Good luck collecting.

Coin Monger June 28, 2013 at 10:24 pm

The price reductions aren’t nearly enough considering the hit gold and silver prices have taken.

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