Jim Bisognani: A Point of Reflection and the Upswing in Collecting

Editor's note: The US Mint announced after the publication of this column that it is delaying the pre-order windows for the Morgan and Peace Dollars that had been scheduled to begin on June 1 and June 7. See the announcement at the end of this column.

Memorial Day is around the corner — you know, the day that semi-officially ushers in summer. We are all thankfully nearing a return to what we all took for granted about a year and a half ago.

Last year was a year truly like no other I have experienced in my lifetime, and thankfully most of us made it through. At its core, this holiday is meant to remember and honor those who have made the ultimate sacrifice for our republic. In my view, that includes all those who have made sacrifices and shown courage on the front line in the battle against the pandemic.

With a majority of Americans vaccinated, we can all begin to slowly and carefully resume what was “normal.” Just yesterday, Beth and I visited a local grocery store together for the first time in months. We both still donned masks — hey, it is better to be safe and, besides, it has become a habit. Another habit for me is scoping out the floor for an occasional coin or two that had fallen.

A collecting revival

Amazingly, through the darkest moments of the pandemic, the coin collecting hobby prospered. I found myself wondering many times over the past year: Why? Numismatics, my price guide updates and my biweekly musings in this forum are not in the same universe as the front-line medical staff, caregivers and those scientific researchers.

Yet, as many business and livelihoods floundered or disappeared virtually overnight, we all witnessed numismatic dealers and auction houses flourishing. World records and a multitude of individual coins reeling in over a million dollars became commonplace, and the media attention certainly amplified the already frenzied marketplace. Every dealer I have spoken to has enjoyed record business during the world pandemic.

I count myself truly grateful and lucky to be safe and employed, but also miffed and humbled. Philosophically, for me, coin collecting has been a comfort to me. Those little round discs are steeped in history, and if you are lucky enough to enjoy having a varied and eclectic collection of US and world coins — well, it is just so much fun to pull out a favorite coin or perhaps revisit one that has not seen the light of day for a few decades.

Taking time to enjoy their past and beauty, and perhaps ascertain a value for that repatriated friend — hey, I guess the US and World Coin Price Guide is handy, maybe necessary after all! I have visited the NGC Price Guides and Census a multitude of times over the past year.

For those coindexters in the workforce, much of which had been relegated to remote settings, the saved travel time to and from the old workplace has also given rise to the hobby — in fact, the entire collectibles arena. More idle time has been the great ally here. The allure that the metals arena brings has elevated excitement of the semi-numismatic and truly numismatic items du jour.

How have the mighty metals fared? Well, here is what has happened in the past year:

Silver is the new gold?

While all the major metals are up since last Memorial Day, gold wears only a modest 12% advance. It is the white metals that have been thriving. Silver is leading the sortie, posting nearly a 63% advance, platinum 46% and palladium nearly 44%. The winner, silver, comes as no real surprise, as it was and still is the most affordable to buy in volume. I mean, for the price of one ounce of gold, you could own nearly 68 ounces of silver.

However, even with the price of silver, the popularity for the wildly popular US silver Eagle, 90% US silver coins and the circulated common-date Morgan and Peace Dollars has driven premiums through the proverbial roof.

Common-date Silver Eagles find dealers paying on average $8.50 over spot, 90% silver is bid at around 21.5 times face value and Morgan Dollars reveal that pre-1921 buyers abound at $39 for average circulated, while 1921 Morgans in like condition are pegged around $35. Presently, based on silver spot in the $28 range, 90% silver coins would offer you the best spread versus spot.

1921 Morgan Dollar from NGC Coin Explorer

From now and until mid-October, demand will only intensify for average circulated BU Choice and Gem coins. Why? According to the US Mint’s 2021 Product Schedule, that is when the 100th anniversary Morgan and Peace dollars will begin delivery and start to propagate in the marketplace. I strongly believe that the classic Morgans will only see further pressure and demand.

On May 24, the entire supply of the 2021 Morgan ‘CC’ and ‘O’ privy-marked coins sold out within in minutes of their high noon offerings — that is 350,000 coins! I was on vacation for a few days and forgot that they went live — rats! Personally, the next installments of the Morgan Dollar are most exciting because they will be struck at the facility with their respective mintmarks: ‘D’ for Denver, ‘S’ for San Francisco and no mintmark for Philadelphia.

2021-'CC' Morgan Dollar with the NGC Morgan Dollar Centennial Label. Click images to enlarge.

So mark your calendars as the next two Morgans go live June 1 at high noon and are available with a household limit of 10 coins per mintmark. Fast forward to June 7, the Philadelphia Morgan and the only version of the Peace Dollar go live. Personally, the Peace Dollar is the coin I am most anxious to get.

2021 Peace Dollar with the NGC Peace Dollar Centennial Label. Click images to enlarge.

On June 8, I fervently predict, a trio of new world records: two philatelic and one numismatic. Sotheby’s is offering the “Three Treasures” Collection, which includes the only legal-to-own 1933 Saint-Gaudens Double Eagle, the 1856 British Guiana One-Cent Magenta and the 1918 24-Cent Inverted Jenny Plate Block. This trio, when last acquired by present owner Stuart Weitzman, cost him about $20 million. There is great likelihood that these icons will bring double that on June 8. For certain, the new owners will pay record prices for this magnificent threesome.

1933 Double Eagle, British Guiana Cent, Inverted Jenny Plate Block

Philatelically speaking, this pair represents the ultimate prizes, while for the numismatic world, a new record will be established for the most valuable coin, as once again the 1933 $20 Saint will reign as king of the coin kingdom. However, this date will even be easier for yours truly to remember as June 8 is Beth and my anniversary — which remains priceless.

Until next time, be safe and happy collecting!

Announcement from the US Mint about the Morgan and Peace Dollars: