Precious Metals Strength Continues; Good Coins Remain a HOT COMMODITY!
An associate of ours was commenting on how good his sales were, and attributed this to his diverse and extensive inventory. “Nobody has coins right now, so if they need them, they have to come to me”, he stated emphatically. There is definitely some truth to that remark. Those who thought they were inventory heavy going into the COVID19 crisis, quickly came to the realization that excess inventory was a newfound asset and not a liability, as had historically been the case. For those of us that run inventory based operations, we know only too well the challenges of keeping the shelves stocked with the absence of our feeder networks. It is no secret that The Reeded Edge are show hounds. On average, we set up at 20 or more coin shows annually. These shows have been responsible for turning up large quantities of fresh material. To a lesser degree, we would say the same for the local shops. Without either, sourcing coins has proven challenging. We keep hoping that normalcy is just around the corner. Despite much of the press telling us to the contrary, there really are some promising signs on the horizon. We are quite certain that the icebreaker coin show will be a barnburner. For every one dealer or collector hesitant to attend, there are two more in the starting blocks just waiting for the signal. Will that show be Summer ANA in Pittsburgh? Obviously, we hope so, but in the midst of what still is a very fluid situation, it’s still too early to tell. Coin auctions have continued without interruption, switching to a virtual platform. Surprisingly, in most cases the prices realized have been very strong. Irrespective of economic and social distractions, the collectors seems firmly entrenched, focused and committed-all very good signs. Strong precious metals prices have added wind to the numismatic sails, and allowed many coin shop owners, that were forced to close their physical locations, stay relevant. We are fortunate to live in the information age, as much of the business, just like the auctions, has also migrated to a virtual platform. There is an old saying that necessity breeds creativity. We sense that will need to be the case moving forward in the coin market, at least for the immediate future. More about this evolving transition next week…For now, we urge everybody to stay safe.