U.S. Mint Sells Out of Silver Eagles, Gold Buffalos
The lower metals prices are, predictably, driving increased demand for physical bullion from U.S. retail investors. Bargain hunters, who had less reason to buy during the first half of the year, have come out in force over the past two months.
Perpetually plagued by shoddy production planning, the U.S. Mint announced last week the government agency is temporarily sold out of silver American Eagles and gold Buffaloes. Premiums for those silver and gold mint coins moved higher almost immediately, especially on Silver Eagles.
The government-run “enterprise” typically operates with little room for error and does not maintain a large supply of unstruck planchets.
This means it can’t handle moderate to large fluctuations in demand. It’s not unusual for the U.S. Mint to fail in its statutory mandate to produce sufficient coins to meet public demand.
There is some pressure building on premiums for other sovereign coins, rounds, and bars. Those inclined to buy metals in this price range should consider moving quickly.
About the Author
Clint Siegner is a Director at Money Metals Exchange, a precious metals dealer recently named "Best in the USA" by an independent global ratings group. A graduate of Linfield College in Oregon, Siegner puts his experience in business management along with his passion for personal liberty, limited government, and honest money into the development of Money Metals' brand and reach. This includes writing extensively on the bullion markets and their intersection with policy and world affairs.