Why has the price of silver dropped so much?

Gold and Silver are at a lower value now (June, 2022) for some reasons.

Almost Uncirculated AU-55

You may have asked yourself, “Why has the price of gold and silver fallen so much lately?”

For far too many, inflation has been devastatingly apparent with each visit to the under-stocked shelves of supermarkets still in business. Personally, I have gone primarily vegetarian, and I still use all my spare income each month. Lean months are here for now.

I believe that during the last, lean, six months of ever-increasing gasoline and food prices, many people may be selling their closet gold and silver coins in order to make ends meet. It appears that “surplus income” no longer exists for many like me.

Those who long ago believed in silver and gold as a long-term investment have been rewarded. But for those who bought at the crest and sold at the ebb (like right now), not so much.

Right now, one could consider it a good time to buy into both metals at the “lowtide”, because inevitably, high-tide is coming. Roll-searching is always a good tactic, especially so now. The supply is good due to “Grampa’s Collection” showing up through CoinStar machines and available in bank rolls. (Do you check the Coin star reject coin returns?) Always ask your local bank tellers for dollar, half-dollar, quarter and dime rolls, you might get lucky and find old (<1964) silver. After searching, re-deposit the non-silver coins.

Buying at the posted bullion rate is a thing of the past, even though supply is good, per coin premiums (received by the seller) are still high, $5-$7 per silver ounce round (like the U.S. Eagle) and $70-$135 per gold ounce coin.

If, as I believe, the continual selloff of bullion to buy bread is currently a real-time event, occurring world-wide, then why the heck don’t we go back on a silver standard?

A dime’s worth of silver, in a 1936 dime, bought a couple of loaves of bread. There’s roughly 1/12th of an ounce of silver in that Mercury Dime, of inherent value because of its silver content. *

An MS, or “Mint State” silver dollar could be worth anywhere between $50 to $250,000, depending upon date, mint marks and condition. (MS70 being perfect.) An old worn-out Morgan Dollar still fetches $20.50 on Ebay;
https://www.ebay.com/itm/265745913663

For the old closet coins from Aunt Jane’s collection that were given to the kids with the ill-advised suggestion to have “fun” with them, getting face value for candy and plastic toys became the boon to the candy and toy sellers smart enough to take the time to really look at the coins.

When silver dropped to $20.50 an ounce this week, I found myself asking why?
Maybe Mom and Pop had to cash in a few silver “eagles” to help pay the mortgage and do the grocery shopping this week. With the effects of the current inflation and potential recession, the needs of basic survival will take precedence in regards to some home budgets. Unless something is done to supplement fixed earnings in an inflationary period, shortages will occur causing demand to go up as supply dwindles. This current period reminds me of 1979-80.

Those people who bought silver and gold years ago may have done well, depending upon exactly when they made their “investment”. The run up of silver bullion prices in late 1979 caused many investors to enter the market at various steps along the price rise in silver bullion from $4 to $47.88 an ounce. The old adage still holds true, “Buy low, sell high.” The lower you buy, the more potential for profit there is in the long game, and this fact drove silver investors wild.

Those who purchased silver in the early 1970’s, at a period of bullion activity very similar to today, stand to profit despite the low current value. Availability of inflation “cash-outs” has driven the silver bullion values downward.

I believe that this gold and silver selloff is occurring regularly with both typical consumers and hard-line commodities brokers. A glut of availability occurred when China flooded the market with physical silver early in 2021. Availability seems to be unclear though. Bullion sellers now charge higher premiums on their products, and cannot promise physical bullion to meet investors demands. Still, investors continue to buy both gold and silver at the lower prices. We may see the day that silver breaks $49 an ounce as it did in 1980.

On March 27, 1980, The Hunt brothers missed a margin call and the price of silver went from $47.88 to $11 per Troy ounce overnight. The Hunt’s had tried, unsuccessfully, to “corner” the silver market by buying futures and live silver far beyond their abilities to meet the stock market’s margin call to produce cash in the amount of their supposed holdings.

Today the need for ounces Troy of silver ($20.81) and gold ($1819.70) in production of aerospace, cars, electronics technologies and jewelry/bullion increases faster than the rate of production of these ores.

Many inherited bullion coins are spent for their face-value by people ignorant of their numismatic and bullion values.

More on when Aunt Sally left her coin collection to the kids, “…to have fun with”;

Using their face value, silver dollars, silver quarters and silver dimes were squandered to buy $7.75 worth of worthless toys and candy. The kids were oblivious of the actual bullion value ($115) of the silver coins in Aunt Sally’s modest collection that they “inherited”. Among the silver dollars was one dated 1893, and below the eagle’s tail feathers on the reverse, was a small “S” mint mark. Although worn, this coin alone was worth over $5,000.00.
Had only a more knowledgeable adult taken the time to look at the coins in Aunt Sally’s collection, the kids could have bought $5,000.00 worth of toys and junk food! But the other side of the coin is this:
A very happy toy store owner took $35 for the 1893-S Morgan dollar, and he felt that he really got a bargain! The buyer sold the same coin to a coin dealer for $1,200.00, who sold it to a Pawn Shop owner for $3,170, who sold it after having it encapsulated and graded VF-35 CAC by PCGS for $5,150.

If you believe in luck, check the rejected coin return on the Coinstar machine at the supermarket. Do yourself a favor and buy a roll of dollars, half-dollars, quarters and dimes next time you go to the bank. You might get lucky.
They happily spent the coins, splurging on these childish commodities. To a kid, candy and toys are a priority, so any loss is unimportant.

*(2.5 grams or 0.088 Troy ounces, about $1.45 worth today)

Precious Metals Right Now?

Whenever gold and silver rise together abruptly, and by a larger than “usual” amount, it makes me consider what will be the selling price target that I will choose. For years I have hoped for a repeat of 1980 silver highs ($49/oz). The silver price has not fully recovered from the $6.00 decrease in price per ounce since January this year. Gold went from almost $1950.00 to the low of about $1690.00 range from Winter to Fall 2021, losing about 13% of its high value. Silver suffered even more, with a loss of almost 25% from January highs on September 28, 2021.

Today, October 22, 2021, the market for metals has experienced three days of continuous increases (with the strange exception of platinum, which experienced a .8% ($7) loss today, and shows signs of continuing throughout the current inflationary trends. The “opportunity” to buy gold and silver at low discounts seems to be disappearing for the moment, and perhaps will never return to the recent low prices, as availability of physical gold and silver now involve waiting lists and time to fulfill. Because of lack of physical availability, the demand for gold coins, jewelry and artifacts of antiquity has grown as we approach the holiday season when the metal markets traditionally heat up! Silver has been on a sluggish delay in its price jumps behind gold, and the two metals have not been performing as they have in the past, when one went up so did the other. Many times this year gold and silver indexes chose opposite trends, and only the last few days hint at a recovery from April of 2020 and September 2021 lows.

The recessionary trends now might affect precious metals prices either way, as so much industrial use of the metals is hindered by loss of manpower and regulatory restrictions on mining and processing of these rare commodities. When the price of platinum (catalytic converters in all gasoline-burning automobiles) dips against the trend of all other precious metals, and the news reports a slowdown and in some cases a stop to production of new automobiles, it isn’t too far a jump to tie these factors together.

Now that the U.S. has to import all its oil, the price of gasoline has doubled in some places since January 20th. (hint, hint!) My grocery bill has almost doubled too. But don’t worry, the Government will provide its customary Inflation Report (usually from 5% to 10% UNDER actual inflation statistics!) and we’ll all see a very, very, very small increase in our Social Security benefits for 2022, which higher taxes will inevitably eat up. I saw a sci-fi recently where a character in the future was offered millions to play a detective for a murder. I thought to myself, “Yeah, but a loaf of bread probably will cost a million by then!”

Some financial analysts think that inflation is gold and silver’s best friend, but this is not necessarily true in a recessionary period. When prices become so high, purchasing slows down, industry slows down, house building slows down, and importantly, delivery of merchandise slows down at the major ports around the U.S. Lately, when the Dow is up, gold and silver are down as is historically true this year. This has not always been the case, as some of the metals’ highest highs occurred during raging bull markets. I have given up trying to mathematically relate metals to the Market in New York, too many discrepancies in performance to plot any kind of accurate barometer of values. Gold and silver prices are now more POLITICALLY motivated, as various crises have occurred simultaneously with upsurges in value. So, perhaps bad times (politically) could be good times for gold and silver investors. But if the times become too bad, will there even be a world left to spend your gold and silver profits?

Gold and Silver In a Ping Pong Covid-19 World Market

I have always touted both commodities as a sound long-term investment, and in the long run both have performed better than any bank interest could have offered: Maybe not as well as a properly timed Bitcoin or other crypto investment, but close, depending upon when you bought.

Within these last days of July 2021, the market is doing well here in the U.S.A., but gold and silver are slowly recovering from a considerable loss last week. Some call it a “buying opportunity” whenever the price drops so, but I bought silver at $2 an ounce, and sold it all to buy my then wifey furniture in 1980. Since then, it is hard to substantiate the outlay of so much per ounce in a fluctuating market.

The facts are that gold, although most sought after, is still being produced in South Africa, Russia (Siberia and Tibet too), Alaska, Australia and many other worlwide locales, availability is high. Along with the jewelry and bullion extant, the world has enough gold now to create a solid 24 karat block 50 feet square!

Silver on the other hand, has been mined to the point where most mines in the U.S. are depleted or face costs more expensive than the commodity per ounce to mine it. Many others throughout the world have reported shortfalls and closures of silver mines.

China has been aggressively buying both commodities until this year, and I believe they are off-loading large parcels at strategic times in order to upset the markets and cause confusion. If the laws of supply and demand are still true, the world’s largest holder of gold and/or silver could potentially control economies worldwide because of the demand for both gold and silver, but mainly for silver. Antibacterial, corrosion resistant, beautiful when polished and traditional as jewelry, electronic conductor supreme, silver has had so many uses they could fill an encyclopedia. All auto makers use large amounts of both commodities in their electronics and microprocessors, as well as a fair amount of platinum in catalytic converters. Photography used to be quite dependent on silver nitrates to print photos on photo-sensitive papers, but in this age the uses are primarily for the charge-coupled devices (CCD’s) in your digital camera. The U.S. Mint faces a constant shortage of available silver for their many silver coin programs, and had to postpone mintage of the special 100th anniversary of the Peace and Morgan Silver Dollars this year. No date has been specified for these and other silver issues.

Like the California “Big One”, silver’s true value will one day hit, and that value will dictate prices that are inevitably going to increase, it is just a matter of when, how much and good timing!

An Introduction to 2009 Lincoln Cent Errors

Early in 2009, the economy in the United States was suffering from a banking crisis, imploding real estate bubble, apathetic coin collectors wanting something new and different to chase, and a near bankrupt government.  When the U.S. Mint announced a new series of four reverse designs on the cent coin, which would commemorate Abraham Lincoln’s birth bicentennial, the coin collecting world became quite excited in anticipation. Knowing that the 2009 lesser denominations would be limited in number, collectors smelled potential profits.

 

Immediately after the first “Early Childhood” pennies were minted, eagle-eyed error collectors like Marilyn Keeney, Jeremy Gardner and B.J. Neff started finding doubled die errors on both obverse (front side) and reverse sides of the new design.  The reverse design shows the actual birthplace cabin of Abraham Lincoln, and the doubled element on these new errors was centered around the log ends of the cabin.  Soon after their February 12, 2009  premier,  John Wexler started adding the newly attributed errors to his already established web page, “Wexler’s Die Varieties”.

The Four Reverse Designs of 2009

2009 1¢ EC WDDR-108

To date (January 28, 2017), there have been 145 different Philadelphia minted doubled die reverse errors in the Early Childhood reverse design.  The Denver minted E.C.’s add another 60 doubled die reverse varieties for a total of 205 doubled die errors for the E.C.’s.

Articles in “Numismatic News” and “Coin World” magazines alerted Robert Piazzaall collectors to the existence of potential profits such as were being made on Ebay in early sales of the doubled die coins.  Auction prices on eBay approached $100 for the newly discovered errors, which had never drawn such widespread attention before.

The second design premiered on May 14, 2009, and as with the E.C.’s, errors were beginning to be reported.  Probably the most well-known doubled die of 2009 was found and reported to John Wexler by Marilyn Keeney, Michael Forader and  Robert Piazza.  Soon dubbed the “Skeleton Finger”, Wexler designated it as 2009 1¢ FY WDDR-006.  Prices paid for this error approached $200, but now  a nice specimen can be bought for about $25 (January, 2017).

2009 1¢ FY WDDR-006

The final two reverse designs, the “Professional Life” and “President in Washington” proved to be less prolific in errors found, but there were 27 errors in the Professional Life reverse and only one in the President in Washington design.

2009 1¢ PL WDDR-002

2009 1¢ PW WDDR-001

If you think that you or your kids might want to learn more about this fascinating niche within the Numismatic hobby, my book, “An Introduction to 2009 Lincoln Cent Errors” will provide all you need to know about how, where and what to do to acquire and find these doubled die errors, either to sell or collect.  The error collector market is still hot, and many buyers and sellers still populate the listings on eBay and other online sites.

If you are curious about the many doubled die errors on the Lincoln cents of 2009, I offer rolls and individual coins on my Ebay Store page.

On a personal note, I pray daily for a world in peace, loving and caring people to residing side by side in this world, and forgiveness from God for all the myriad ways that we have abused and neglected our responsibility in caring for this world gone crazy. We owe it to mother Earth to be good custodians of our beautiful home. I feel there is a sensible answer to every problem we are challenged with, and that all of us have within our minds and souls, the ability to create a paradise here that will allow all philosophies and theologies to live together in forgiveness and understanding tolerance. What will it take to bring any semblance of “Utopia” to all of us here with so many differences interfering with our universal desires of a home, family and food? Please pray for peace, its not too late.

U.S. Error Coins More Popular Than Non-Errors?

So many different varieties to collect, many U.S. collectors are unaware of the extremely valuable errors minted, over a century of error coins are available for “cherry-picking“!

2009 1¢ FY WDDR-006

The Four Reverse Designs of 2009

2009 1¢ EC WDDR-108

1955 Doubled Die

Proof 2009 S WDDR-005

2009 1¢ PL WDDR-002

Just One of the Currently Known 85 FY Philadelphia Doubled Die Errors

Whether you view them with naked eye or loupe, microscope or magnifying glass, the interesting world of exonumia (error-collecting) draws many new and younger numismatists to the hobby each year.  Older collections of U.S. coins are being “re-discovered”, especially in the popular Morgan Silver Dollar series, because of the relatively “newly discovered” VAM (from the book by Leroy Van Allen and A. George Mallis) error varieties within each of the years they were minted, from 1878 to 1921.

One of the biggest complaints from younger collectors on a budget is that traditional collectible coins are just too darn expensive!  In 2009, the U.S. Mint created a bicentennial series of reverse sides for the lowly Lincoln Cent, celebrating bot Abe’s 200th birthday, AND the 100th anniversary of the first Lincoln cent issued in 1909.

Many experts don’t even know about this secret:  The 2009 U.S. Uncirculated Sets and Proof Sets from the Philadelphia, Denver and San Francisco Mints, were all struck on planchets (blanks) made of the original bronze composition used from 1909 to 1942.  These “Satin Finish” (unc. set) and Proof (mirror-like surface) coins can be purchased for prices far below their expected values, based upon mintage.  The proof coins number 2,995.615 of each design, while the much rarer “Uncirculated Set” Satin Finish cents number only 784,614 of each design, making them rarer than the “key” 1914-D, 1931-s and most Proof issues!

A savvy youngster with a basic coin microscope (stereoscope) can still make a profit by buying and re-selling these errors outright online, or by looking through uncirculated “bank rolls” currently available at modest prices, ranging from $2.00 to $5.00 per roll.  I personally choose Ebay as my source for 2009 Lincoln cents.  Remember that the rolls you buy, either from “LP-1, LP-2, LP-3 or LP-4” U.S. Mint two-roll (P & D) Boxes, bank rolls or loose coins, are most likely those struck on 95% zinc, copper-plated planchets.  Errors were produced in both compositions of planchets in 2009.  In order to get the much rarer bronze 2009 cents, one must purchase either coins from the official U.S. Mint Uncirculated Set, or from San Francisco minted Proof Sets.  This distinction is very important to remember.  Also,, it is important to mention here that ALL FOUR REVERSES of the 2009 cents have doubled die errors within each series, from both Denver and Philadelphia as well as San Francisco Mints.

Check them out on Ebay, use “LP-1 P“, “LP-1 D“, “LP-2 P“, “LP-2 D“, “LP-2 S“, “LP-3 P“, “LP-3 D” through “LP-4” in their search engine URL (the four reverse designs, in U.S. Government parlance referring to the two-roll sets they sold in 2009).  “EC WDDR-” or “FY WDDR-“, “2009 Lincoln Cent Roll” or “2009 Error Cent” are alternative search engine entries to use.

James A. Porter

October 7, 2016

 

2009 Lincoln Cent Doubled Die Errors Found!

Many collectors are not aware of the fact that in 2009 the U.S. Mints produced four different reverse side designs on the Lincoln cent, commemorating the bicentennial of Abraham Lincoln’s birth, and various aspects of his lifetime and career.  A depiction of his log cabin birthplace in Kentucky is known as the “Early Childhood” reverse.  The “Formative Years” reverse shows Abe reading a book while taking a break from rail splitting, a way young strong men made money then by selling the rails to the westward advancing railroads.  The third design features young Lincoln in front of the Illinois State House, where he practiced law and became familiar with the world of politics.  The final design shows the unfinished U.S. Capitol rotunda in 1865 Washington D.C., the year of Lincoln’s assassination at Ford’s Theatre.  Many feel the design and original photograph from 1865 symbolize the unfinished nature of Lincoln’s later term, after his “Emancipation Proclamation” was issued, but before the actual end of the Civil War protesting equality.

 

 

 

 

 

 

 

 

 

Because of U.S. economic conditions in 2009, mintage of smaller denomination coins (pennies, nickels and dimes) was limited to some of the lowest numbers in recent history. Demand for the four Lincoln cent designs was high from the start, and premiums have been charged for rolls and individual coins available online and from numismatic sellers in magazines.

The four reverse side designs for the 2009 Lincoln cents are, in chronological order, the Early Childhood (EC), Formative Years (FY), Professional Life (PL) and President in Washington (PW).   Already short in supply, demand continues to increase because of the fact that all four reverse designs have had doubled die errors on them, causing an immediate chase by the error-collecting community. Microscopic movements of the dies used to create the coins is the cause for the doubled die and other types of errors in the 2009 issues. I have written a book about these error coins entitled “An Introduction to 2009 Lincoln Cent Errors“, which fully describes them and how one might build a collection of them. Check out the preview at:

Proof 2009 S WDDR-005

An example of a PROOF 2009-S 1¢ commonly referred to as “WDDR-001” sold for $2,600 in an Ebay auction that ended July 20, 2009. The Denver, Philadelphia and San Francisco Mints have all had doubled die errors in each of the four reverse design Lincoln cents of 2009. (http://doubleddie.com/293043.html)

I was fortunate to find the Proof error shown above online for less than $20.  It shows a doubled index finger above the normal one that seems to fuse with the book spine.  Known as 2009-S 1¢ Pr FY WDDR-005, it could sell online for hundreds of dollars.  Both Proof (coin production method, not condition) and Uncirculated Set cents from 2009 were composed of the original 1909 composition of 95% copper and 5% tin and zinc.  Since only 2,995,615 of each cent were produced in Proof, and all were individually struck with special attention to prevent errors or anomalies from happening, the Proof errors are EXCEEDINGLY rare and demand much higher premiums than the “normal” circulation quality doubled die errors do.  The doubled die errors make up only a very small percentage of the total Proof cent output because of the many safeguards and examination processes that had to be performed before they were packaged for sale to collectors in 2009.  Both Proof and Uncirculated Sets sold out quickly at the Mint web page, resulting in wild after-market prices online and at coin stores and shows, with premium prices continuing to be seen even now in 2014.

 

There are also many examples of the original “bronze” composition “Satin Finish Uncirculated Set” Lincoln cents with doubled die errors on them. Because of their relatively low mintage (784,614 of each reverse design in 95% copper), these uncommon errors carry a premium as well, with some selling in the hundreds to thousands of dollars range.

Many of the 101 known doubled die FY cents consistently sell online for prices ranging from a few dollars to hundreds.  Condition is key, as always, and it is not easy to find 2009 cents that exceed MS-65 in condition.  For this reason, as with almost all collectible coins, the market price paid for MS-66+ coins goes crazy!

Young numismatists (coin collectors) have been frustrated by the fact that so many new coins are produced every year by the U.S. Mint that have little or no collectible value. Now, with the 2009 Lincoln cent errors, they finally have something worthwhile to search for in rolls and in U.S. Mint “LP2” boxes of two-roll sets. Add to the scarcity of the errors the fact that the total Lincoln cent mintage numbers from 2009 were barely 1/10th the “normal” Mint output in almost 50 years!  With magnification, these errors are quite easy to see, with the exception of the “minor errors”, which require not only microscopic magnification, but also require a good idea of how the “normal” design looks on each of the four reverses, and on the obverse as well.  Only with this ability can one discern the minor errors with a lesser degree of difficulty.

The Mint has long since sold out of the “LP” boxes, but they are available in the secondary market for sometimes less than the initial retail price of $8.95 plus shipping ($4.95).   My book,  “An Introduction to 2009 Lincoln Cent Errors“, shows what tools a novice or professional numismatist will need to discover and attribute the elusive and rare anomalies from the U.S. Mint.

2009 1¢ EC WDDR-108

2009 1¢ FY WDDR-006

 

These photos show several examples of doubling on logs and  fingers that appear on the 2009 Early Childhood and Formative Years Lincoln cent reverse design doubled die coins.

2009 1¢ PL WDDR-002

2009 1¢ PW WDDR-001

 

 

 

 

 

 

 

 

 

 

 

 

 

 

The Professional Life reverse shows doubling in windows of the second story, while the only doubled die reverse of the President in Washington cent appears as wider window sills.  If you are new to coin collecting, this would make a terrific place to start in learning the tools and techniques to use in order to find and collect a set of doubled die errors, whether for your own collection, or for sale.

My book, “An Introduction to 2009 Lincoln Cent Errors” contains detailed information on this and other types of errors, and is available on Amazon.com.

Also, are you familiar with John Wexler’s highly informative web page, “Wexler’s Coin and Die Varieties”?

On this site you will find answers to many questions about coin errors.
http://www.doubleddie.com/144801.html

http://doubleddie.com/92301.html).

The site is invaluable for collectors to positively identify and attribute individual doubled die errors by their “die markers” and other unique indicators that allow differentiation of the many similar-appearing errors.

I Must Have Them All!

By James A.  Porter

With the plethora of “doubled-die” errors issued by the U.S. Mint in Philadelphia in 2009, the value of these pennies has slowly increased and the resulting prices paid on eBAY have also gone up.  Since the “Early Childhood” (Log Cabin) and “Formative Years” (Lincoln reading on a log), “Professional Life” and “President in Washington” penny reverses are no longer being produced, all of the product available is finite and most of these coins are currently in the hands of many U.S. and worldwide collectors.

The number of different FY errors now listed by Wexler is 100!  Some die-hard collectors must have them all, and are paying upwards of $50.00 for a single example of the “latest” attributed doubled die error penny!   Using this statistic as an example, that makes the humble U.S. Lincoln Cent one of the most valuable commodities on the planet!
I mean, where else can one purchase anything at such a low face value as one cent, with a potential 5000% profit?   Subsequently, rolls and boxes of the 2009 pennies are now becoming very scarce and often unavailable, and individual 2009 dated pennies are almost impossible to find in circulation; Have you seen any of them?

Just One of the Currently Known 100 FY Philadelphia Doubled Die Errors

2009 Formative Years Pennies Yield Many Errors

The Famous "Skeletal Finger" Doubled Die Error, 2009-P Lincoln Cent Reverse Side, CDDR-009/WDDR-006.

“The Famous Skeleton Finger Reverse” CDDR-009/WDDR-006 

2009 Lincoln Cent Errors

By James A. Porter

I’ve had a lot of fun compiling a photo and descriptive collection of MOST of the (100+) 2009 P Formative Years Lincoln Cent errors this year, what a plethora of informatiion!  I have found many varieties of errors listed by Crawford, Wexler, CONECA, Coppercoins and the rest, by buying individual coins and U.S. Mint LP2 Boxes from sellers on EBAY and elsewhere on the WEB.   I have also made a list of errors associated with certain date, time and lot numbers marked on the ends of U.S. Mint boxes (LP2), and by asking some of the nice people I’ve bought from if they’ve opened any boxes, and which ones yielded the errors.     

    It’s really fascinating to me tracking the evolution of the error types CDDR-001 to WDDR-100+.
I don’t understand why PCGS and other grading companies are turning down a TON of business by not certifying/grading these sometimes rare varieties.  I think that these Lincoln Cent errors are the most significant and visible doubled die errors since the 1955 Lincoln Cent Doubled Die!   

1955 Doubled Die

Some error coins show less delineation in the strike, and I figured these coins are early or later states of that particular die and error.  I’ve found a few unattributed as of yet, I figure Wexler and Crawford and the rest have grown weary because of the sheer number of errors!  

I have been selling these 2009 P Lincoln Cent “Formative Years” error coins on eBAY for about 12 months now, and they seem to be gaining in popularity still, even though the newer issues, the “Professional Life” and “President in Washington” issues are already becoming more available, despite lower mintages.  

You just can’t seem to find these Philadelphia Mint errors  out here in the West.  Banks don’t have them, and with coin store premiums, prices are about $100.00 for a $25.00 box of “FY” 2009 P bank-wrapped rolls of pennies.  

It has become confusing for buyers on eBAY because the listings of error cents are sometimes by Crawford, sometimes by Wexler numbers. Its ok when we’re talking about CDDR-003 and WDDR-003, because they are the same coin;  But when we are looking for a “Skeleton Finger” CDDR-009/WDDR-006, its easy to get the error numbers transposed when ordering, and end up with the wrong coin being delivered.  More errors are still being discovered, it makes one wonder what was going on in the Philadelphia Mint this year? Apparently, the Denver Mint experienced NO doubled die reverses that have so far been reported, compared to the 100+ different 2009 Philadelphia Mint FY Reverse doubled die error varieties!  

And on the other hand,  

Apparently there are some collectors who believe that the Formative Years Series Errors are a humbug.  Others believe that it is either the result of active imaginations or hallucinations motivated by the power of the almighty buck, of which many thousands of dollars each day are exchanging hands on eBAY.   

CDDR-005 / WDDR-011

CDDR-003 / WDDR-003

 The subtleties in the different Doubled Die Errors can cause difficulty in recognizing which one of the 100+ known Double Die Errors it is.  I mean, can you tell me if this is a CDDR-003 or a WDDR-011?  The two are remarkably similar, and many such instances occur over the series of 100+ errors classified so far.

Silver Eagle Coins-What Are They Worth?

By Jim Porter

A reader recently commented on this article, so I felt compelled to update it, since it was originally written in 2009.  The values shown below are for October 3, 2014.

What a U.S. Silver Eagle $1 coin might be “worth” depends on four things;

U.S. Proof $1 Silver Eagle

1.)  Is your Silver Eagle an “Uncirculated” coin or a “Proof”  coin?  Uncirculated coins are generally used as a bullion investment, and are worth around the value of 1 ounce of silver as described in (2) below.  Proof Eagles have a mirror-like surface, and carry a numismatic value in addition to their intrinsic value, so are worth quite a bit more depending on the year issued.  Your 1998 Proof Eagle is worth about $70, yet your Uncirculated 1998 Eagle is only worth about $40 (10/14).  Your 2006 Reverse Proof Eagle can be worth as much as $275, or as little as $70 (normal proof coin).

U.S. $1 Uncirculated Silver Eagle

2.)  The bullion “value” is usually the HIGH price that one uses to set the standard base for the actual bullion coin.  You can’t expect to go to your local coin shop and pay this “value-based” price for an ounce of silver, because ALL dealers charge a substantial markup on each coin, based upon demand and availability.  Neither can you expect to sell your ounce coin for this value-based price.  If  silver bulliion is worth $16.83 (October 3, 2014) an ounce (http://silverprice.org/), you might expect to pay about $20 to $24 per one-ounce coin, depending upon where you purchase it.  Remember, coin shops charge local taxes, coin shows usually compute the taxes into the final price, often much less than the coin stores.  If the same day you try to sell that same coin back to the same coin shop you bought it from, you can expect to get between $16 and $19 for it.   Bullion price quotes are only a guideline for your Silver Eagle Coin’s true “buy” or “sell” value.

3.)  “Anything is only worth what people will pay for it.”  You might maximize your sale by selling your coin in an online auction like EBAY, but it more than likely will be a “loss” to you unless you wait until the price of silver increases at least $5.00 an ounce (from your “buy” price) before selling it.  What the coin and bullion market will reflect  for your Silver Eagle’s value depends on supply and demand, like anything else of value. 

4.)  Condition and Grade play a large role in determining value.  Certain Proof Silver Eagles in the 1986 to 2009 run have premiums because they have lower mintages and are rarer because of this  (1993, 1994, 1995, 1996, 1997, 2006 Reverse Proof and 2008-W).  Similarly, certain Uncirculated Silver Eagles have a premium value because of lower mintage numbers and less apparent availability (1986, 1992, and 1996).  The mintmark can also determine rarity and value of Silver Eagle Coins based again on mintage numbers and availability (The “W” mintmark, West Point, for 2006, 2007 and 2008 coins adds a premium).  A “slabbed” or “Certified” Eagle is more likely to get you the higher value range, especially PCGS, NGC or ANACS certified coins.  The plastic sonically sealed enclosure protects the coin from oxidation, and the description and grade listed guarantee the coin’s value beyond speculation.  If the description says MS-70, it is “as good as one gets”.  Lesser “Mint State” values such as MS-69, MS-65, MS-64 and so forth, are worth proportionally less, as they show signs of damage, slight coin to coin contact/wear or blemishes which detract from a perfect MS-70 grade.  70’s are hard to find, but only because demand is very high, not because of rarity, except in certain dates as described above.

Some Silver Eagle Bullion coins have found their way into general “circulation”, and have lost some of their value for not having been handled by cotton-gloved fingers by their edges only.  You can expect to get less for these “circulated coins” when you try to sell them, but also, you might get a better purchase price on them at coin shops and shows when buying them, as they no longer carry the premium as a numismatic collectable.  If you are considering buying “circulated” or blemished Eagles, you might want to consider purchasing Morgan or Peace dollars instead.  These antique coins are actual legal tender which circulated in the U.S. and worldwide when economic times were much better, up until the 1950’s and early ’60’s.  They can be bought in many coin shops and at coin shows for about the price of an ounce of silver.

“Morgan” Silver U.S. $1 Coins 1878-1921

 

Although the Silver Eagle is considered to be the currently official U.S. $1 “Legal Tender” coin, most collector’s do not consider it to be a “silver dollar” (as the reverse side states that it is).  The most famous silver dollars were the Morgan Dollar and the Peace Dollar.  The Morgan Dollar was designed by George T. Morgan and was minted from 1878 to 1921.  The Peace Dollar (below) was designed by Anthony de Francisci and was minted from 1921 to 1935.  As a bullion coin, these contain about 0.7 ounce of silver, and you might expect to pay between $21 for a common date “circulated” condition coin (GOOD to about FINE), and $50 for a common uncirculated coin. (Silver is about $17 an ounce today, October 3, 2014)  The numismatic (antique) value of these dollar coins has allowed them to increase in value beyond their actual bullion value.  Many were melted to pay World War I debts, and since then to manufacture one ounce “rounds” and commemorative ingots sold by private mints.  the mintage figures in guidebooks only hint at their real value, based upon scarcity, because they are all incorrect at the present time.  As much as 90% of certain dates and mint-marked silver dollars have been melted and are forever gone from the hands of potential collectors!  Carson City (Nevada) minted dollars are among the rarest existing, and most often melted down by the U.S. Mint.

U.S. “Peace” Silver $1 Coin

Thousands of dollars in your pocket change?…

By Jim Porter

The excitement of the treasure hunt has arrived in the form of a new U.S. error coin, namely the District of Columbia U.S. Territorial quarter.  This coin features famous African-American jazz great Duke Ellington at his piano on the reverse side, which has the error.

2009 (Denver Mint) District of Columbia Quarter

Above is the normal coin, without the doubling error that is referred to now as “Type I”.  The Type I error coin, which depending upon its rarity may be worth thousands of dollars,  looks like this:

The 2009-D Type I DC Error Quarter Dollar

Three or more different types of doubling exist on the District of Columbia quarter dollar, but the one above that’s caused all the excitement shows strong doubling of the “ELL” in Duke Ellington’s last name, which appears above his piano keyboard.  EBAY hasn’t had any of this rare type for sale yet, but has had coins for sale that show a lesser degree of “doubling” in other areas. Until more examples of the above Type I error are found, the value is speculative.   I have found one of the Type II doubling errors, and although not as noticeable or exciting as the Type I, several have appeared and sold on EBAY for less than $20.  Here’s what the Type II error looks like:

 

Errors are not new to the United States and Territorial quarters series.  There’s also a “Six Toe” Bear error on the Alaska State Quarter.  There’s been some debate as to whether a scratch or ding in the die created this error, but nevertheless, it is recognized as a bonafide error, and several have sold on EBAY for less than $20. 

 

You may have seen the Wisconsin State Quarter with an “extra leaf ” under the lower left leaves on the ear of corn.  Versions of this error from 2003 have sold for up to $300.00 on EBAY.  Some believe that this error was purposely created by a U.S. Mint employee.

Normal Wisconsin State Quarter

Above is the “High Leaf” and below is the “Low Leaf” errors on the Wisconsin 2003 State Quarter.

There are four new reverses scheduled to be released on the Lincoln Penny in 2009.  This being Abe’s 200th birthday, it is appropriate to honor him again.  The second release, called “The Formative Years” or “Rail Splitter” reverse, has a variety of “errors” on them.  At this time, none of the coin grading services acknowledge this issue as a “doubled die error”, but collector’s do by their obvious interest and purchasing of the coins.  The most visible is the “extra finger” variety, which appears as an extra imprint of Lincoln’s left forefinger, on the left hand which is holding a book.

The Most Visible 2009 P Penny Reverse Error

The many other diverse varieties of the 2009 P Lincon Cent reverse errors are subtly different, and take a good loupe to be able to see them.   All varieties seem to be recognized by a widespread base of people buying and selling them on EBAY.  Perhaps they will grow or shrink in popular acceptance as error coins, but their apparent availability suggests that they are not  as rare as other error coins past and present.  (One dealer sells a “potential” roll for $39.99)

Variety of Errors on 2009 P Lincoln Cent Reverse

There are many, many more “errors” on the “Formative Years” Lincoln Bicentennial Commemorative 1 cent coin, and its really getting out of hand with all the different slight variations selling for ridiculously high prices on EBAY.  When all the smoke settles, perhaps they will be valued by their true rarity, if that can ever be determined.  In the meantime, I asked Abe what he thinks of the frenzy to find one of these error coins, and here is his response…

He's spinning in his grave!

 

The 1995 One Cent coin from Philadelphia (no mint mark below the date) also had a “Doubled Die” version, worth about $50.00 in mint state.

The '95 Doubled Die shows some slight doubling in the word "LIBERTY".

 A valuable error was minted in 1972 on the Lincoln cent obverse.  This “doubled die” is far more apparent than any since 1955.  It is valued in the $300 range for Mint State specimens.

1972 Doubled Die Obverse "LIBERTY"

 

This strongly doubled 1972 obverse is worth the most, there are varieties doubled to a lesser degree which are worth far less.  Some unscrupulous dealers try to pass off the less valuable ones as the rarer variety.  Its best to research thoroughly before purchasing ANY error coin. 

The most famous error coin is probably the 1955 Doubled Die One Cent coin, in terms of both notoriety and value.  Uncirculated versions of this coin bring upwards of $3,000.00.   The year it was issued, the coin was almost immediately discovered, and it started a nationwide “treasure hunt” for bags and rolls of 1955 P (Philadelphia, no mint mark) pennies.  Some lucky people found a roll of uncirculated coins then, other ver lucky ones found bags with many hundreds of uncirculated specimens.  Since then, they have apparently dissipated into the hands of worldwide error collectors and investors, as its value has increased at better than bank interest rates.

Of course, there are those who would take advantage of folks who do not know by representing a lesser value “Poorman’s Double Die” as the real ’55 Doubled Die Cent shown above, but the “Poorman’s” coin is quite common and only worth a few bucks in Mint State.  Shown below, the “Poorman’s DD” shows only minor “doubling”, of the last 5 of the date 1955.

"Poorman's Double Die" is not a true "doubling".

Minor, less noticeable errors exist in U.S. coinage which attract niche collector groups.  The 1922 “No D” one cent piece was caused by the use of extremely worn dies at the Denver Mint.  Pennies without any mintmark were produced at the Philadelphia Mint, but none were struck there in 1922, which makes the mintmark-free coin an obvious error.  This version of the 1922 “Weak D” penny also  has a weaker reverse, and is worth less than the strong reverse variety with an entirely missing mintmark.

1922 "No-D" Cent

Errors have always held a curious attraction to collectors, because they continually keep sufacing each year, even ones from the past which might seem unattainable to the average person.  In 1943, a few copper blanks (planchets) found their way into the production line at the Philadelphia Mint and were released along with all the other normal pennies that year.  Because of a copper shortage, the “normal” pennies minted in 1943 were made from zinc plated steel blanks, and the copper 1943 dated penny is worth about a quarter million dollars!  Before you get excited about the copper 1943 penny in your collection, the magnet test rules out copper plated fakes which are abundant, and no doubt the source of much fun and ridicule of those who have run about the house screaming, “I FOUND ONE!”