By Harry Miller, Numismatic News November 10, 2009

The central bank of India purchased from the International Monetary Fund some $6.7 billion in gold, taking half of the quantity the IMF wants to sell. That is a pretty healthy bet by a country where the populace has been the largest consumer of the metal in the past. I say past because recently they have been net sellers, with imports for jewelry down over 50 percent in the past year. India and China have been stockpiling commodities during this economic recession. We are seeing the biggest transfer of wealth from West to East the world has ever seen.

Premiums are all over the place on U.S. type gold coins and have moved so rapidly that all I can say is be careful. There have been many increases and even a few have dropped.

The Morgan dollar market has shown some downward adjustments. While there is a noticeable number of declines, the market is not weak in the area that most of us buy or sell. The more common CC issues in high Mint State grades have dropped. The 1881-CC in MS-67 is down nearly $1,000 and several others by $100. The 1889-O in MS-65 has also dropped $1,000. Some of the DMPL dollars have softened for the first time in over a year. Many of these are so thin in supply lack of one buyer can make a big difference.

Proof sets and mint sets are back in season with numerous small price advances and the 2008 duo up strongly again.

Mint sets have shown little change with the exception of a flurry of interest in the special mint sets and some strong buying of the 2008 set which seems to be in very short supply.

Proof sets are active with no declines lately and about a dozen increases some caused simply by the rise in silver bullion. Here as in the mint sets the 2008 set shines.



E-mail harrymkrause@optonline.net.

More Resources:

• Ultimate Standard Catalog of World Coins 5-CD Set (1600-Present)

• 2010 U.S. Coin Digest, The Complete Guide to Current Market Values

• Standard Guide to Small-Size U.S. Paper Money, 1928 to Date