The Reeded Edge, Inc.

Serving The Serious Collector & Investor Since 1991
The Internet's Premier Coin & Bullion Dealer
Rare Coins - Currency - Bullion - Stamps - Collectibles

888-856-COIN


Search Descriptions & Titles
Checkout | View Cart: 0 Items $0.00

 

Auction Prices Provide Historical Perspective(Con't)

The announcement by Goldberg was a watershed, for it marked the true beginning of consideration of numismatic items as genuine investment vehicles worthy of consideration by Wall Street types, and others. Barely five years later, the Federal Reserve Bank of Boston used its prestigious New England Economic Review to quote from the Salomon Brothers Survey of tangible assets to show that coins were indeed more than a collectible.
Of course, that's not the final story for 1794 dollars.
Q. David Bowers, in his definitive Complete Encyclopedia of US. Dollars (1993), traces some of the subsequent history. It eventually wound up in the 1975 Bowers & Ruddy Newport Collection sale (Lot 371) where it realized $75,000; from there, it went to the block in heated competition. By that time, the Dow was at 857 and the CPI was 53.80 (again, 1982=100).
By 1984, the Amon Carter specimen (originally purchased at the 1947 Will W. Neil collection sale conducted by B. Max Mehl for $1,250) hit the block in uncirculated condition (described as proof-like by cataloger Norman Stack). It was a significant event for the numismatic community.
Ed Milas, of RARCOA, was in attendance and told me at the time that he "had $150,000 to bid and I thought that would take it." He estimated its pre-sale value at $120,000 and seemed very confident. Bidder 187, Huge Sconyers, instead took top honors at $240,000 ($264,000 with the buyer's premium).
By this time the Dow had moved to 1,212 and the CPI had started its inflationary march to 103.90.
The coin next showed up in the collection of Jimmy Hayes, which he sold through Stack's in October 1985 as he prepared to run for Congress. Hayes was known for his discerning eye for high-quality, better-graded material - and in this coin he had hit a true mark.
David W. Akers attended that sale and spoke with me prior to the auction. He graded the coin MS-63+ and said that he had come to the sale expecting to buy the coin. It opened at a respectable $75,000 from a mail bidder, and moved rapidly in $5,000 increments to $80,000, $85,000, then $90,000. Kevin Lipton jumped in with a bid of $ 100,000, and it was off to the races.
When the smoke cleared minutes later, Akers had the bid at $200,000 (a $220,000 total price with buyer's fee). The market for the coin was stabilizing, but not moving steadily upward. The Dow had advanced to the 1,547 mark and the CPI was at 107.60; gold was at $318 an ounce - a long way from the $35 an ounce it had been in 1968 and prior going back to the 1930s.
Another MS-63 specimen was the Amon Carter piece that showed up in a Superior Sale of the Hoagie Carmichael collection in January 1986. That brought $209,000 and traced its pedigree to the Mehl sale of the Will W. Neil collection of 1947, and by extension, the earlier Carter coin at $264,000 - a net decline over the two-year period. (The Dow was at 1,896 and the CPI was at 109.60, gold was at $368 an ounce.)
The companion Lord St. Oswald piece, sold to A.H. Baldwin and Lester Merkin on behalf of Ambassador and Mrs. R. Henry Norweb, was sold by Bowers & Merena in 1988. The price then: $242,000. Bowers said that which of the two coins is better (at MS63) remains a "toss-up".

click here to continue