Author Archives: ANDRE BUTLER

About The Gold Marketplace, LLC

The Gold Marketplace, LLC is an online marketplace for physical precious metals. We provide a wide variety of top-tier products that include coins, bars, jewelry, and other products. Our headquarters is in the wonderful city of Albuquerque, NM.

Our objective is to evolutionize the outdated investment and savings strategies that are thrust upon the citizens of the world.

For decades citizens lost about 2-5% of their purchasing power to inflation each year according to the Burea of Labor Statistics. That percentage is misleading because it does not account for increases in housing and food prices. Furthermore, since the beginning of the Covid-19 pandemic, the purchasing power of the dollar is down 10-13%. From January 2021 to January 2022 the USA has seen its highest inflation increase since 1982.

Consumer Price Index jan 2022

If citizens divert 10-20% of their liquid assets to precious metals over time, they will discover why gold and silver are often called “God’s money”! Since gold is inversely correlated to the dollar, it spikes when the dollar dips. Additionally, it is a discreet method of storing wealth and it is highly liquid.

The Gold Marketplace is dedicated to providing gold, silver, and platinum that enables our clients to build strong investment portfolios, hedging strategies, and wealth protection plans.

The Gold Marketplace is unique in that we focus on educating clients about precious metals and the global economy. We provide courses, videos, books, and other educational tools for our clients and visitors to our website.

If you are looking at precious metals as a hedge, an investment, or as gifts, The Gold Marketplace will have products that suit your needs. Furthermore, our website is safe to use and easy to navigate.

We look forward to earning your business!

The Type I Gold American Eagles: The End of An Era

Since the release of the Gold American Eagle, it has become the most traded, trusted, and recognized coins in the world. It is expected that the United States Mint will do away with this popular design halfway through 2021, when the reverse of the Gold Eagle will be changed. This design that has been used since the coin was released in 1986 will be designated as “Type 1” and the new design that will be released about mid-way through 2021; it will be designated as “Type 2”.

The Type I Gold Eagle was first released in 1986 by the United States Mint. It comes in four denominations that include the $50 (1 oz), $25 (1/2 oz), $10 (1/4 oz), and the $5 (1/10 oz) denomination. The Gold Eagle coins are IRA-eligible.

The Obverse

The obverse (front) of the coin features Lady Liberty holding an olive branch in her left hand, which symbolizes peace. It also features Lady Liberty with her left leg forward, which from the days of Antiquity has symbolized eternal life.

The Gold Eagle’s obverse design features a reproduction of Augustus St. Gauden’s 1907 design that graced the “double eagle” from 1907-1932. One important contrast between the Gold Eagle and the Silver Eagle coins is that the Gold Eagle presents Lady Liberty with the torch of wisdom or enlightenment whereas the Silver Eagle features an open hand.

The Reverse

Since its release in 1986, the reverse (back) of the Gold Eagle has featured a family of eagles, with the male eagle bringing food home to the nest. Inside the nest are a mother eagle and two eaglets. The image symbolizes family values. Again, the olive branch symbolizes peace. The arrows symbolize the willingness to exhibit valor in defense of our country.

 

The Sales Figures

As of May 14, 2021, according to the United States Mint website, the US Mint has sold 406,000 $50 Gold Eagles. Of the four denominations, the $50 is the only Gold Eagle denomination that has been minted every month so far this year. The up-to-date sales figures for the $25 Gold Eagle is 31,000.

The $25 denomination has the lowest mintage figures. I suspect that the final 2021 mintage figures for 2021 will not be much more than its current figures since the US Mint’s website show sales for only January and February with there being no sales for March and April. At the current sales figure number, this would make the 2021 $25 Gold Eagle the 3rd lowest minted eagles all years.

The $10 Gold Eagle sales total for 2021 to date is 56,000 with 0 sales for the months of February and April. At this number, this 2021 $10 would be the 6th lowest minted of all years.

The 2021 $5 Gold Eagle has a total sales number of 150,000 so far and has only been minted for January and March, with 0 sales for February and April. At 150,000, this would make 2021 the lowest minted of the $5 Gold Eagles and would replace 1988 as the year with the the lowest mintage of $5 Gold Eagles (159,000). Even the US Mint decided to mint more $5 Gold Eagles for this year, it is like that the $5 would still end up among the lowest minted years.

Numismatic Value of the 2021 Gold Eagles

It is quite likely that the 2021 Gold Eagles will come to have strong numismatic value beyond most other years. Three factors commonly determine the perceived value of coins beyond the spot price of gold. Those factors are condition, rarity/mintage figures, and whether the design is a first-year or a last-year issue.

The relevance of the three factors that are presented in the previous paragraph are exemplified in The Official Red Book (2021) as related to the $5 Gold American Eagles. Whereas 1988 has the lowest mintage figures, it does not have the highest asking price ($175) for uncirculated coins. The years with a higher asking price are next-to-last year issue, last-year issue, or first-year issues. For example, the 1990 $5 Gold Eagle is the next-to-last year issue for the $5 Gold Eagle before Roman numeral dating was discontinued on the Gold Eagles. It has a relatively low mintage of 210,210 and an asking price for the uncirculated coin of $190. The last year for the Roman numeral dates was 1991. That year has a low mintage figure of 165,200 and a listed price of $190. The second highest listed price of $5 Gold Eagles is the 1992 coin, which is the first-year for the Gold Eagles with Arabic numbering.

Conclusion

For the reasons presented above, it is almost a certainty that the 2021 Gold Eagles in top condition will trade above common years, especially if the final mintage numbers for each denomination remain relatively low. Regardless if buyers define themselves as collectors or investors, now is an excellent time to buy Type 1 Gold Eagles for many reasons including the fact that they represent the end of an era.