November sales of U.S. American Eagle gold coins are on track to be the best in 14 years as uncertainty surrounding the U.S. fiscal cliff and the election of President Obama led to safe haven buying.
Buyers timing the market also increased coin sales by buying during sharp price movements that occurred in the beginning and end of November, coin dealers noted.
Bullion dealers in the U.S. report an influx of high net worth individuals that are buying gold coins in volume and taking physical possession of their bullion.
Month to date 131,000 ounces of American Eagles sold, that tripled last year's November sales and is the strongest November since 1998, data from the U.S. Mint's website shows.
In October, the U.S. Mint sold 59,000 vs 50,000 ounces the previous year, while November marked its 2nd successive monthly rise.
Coin banks have come in to buy the stock as the mint usually ends 2012 coin production in early December so it can begin minting the 2013 coins.
American Eagle silver coin sales more than doubled in November going from 1.384 million to 3.135 million ounces. Silver coin sales were just shy of October's figure of 3.153 million ounces.
Coin sales have not only been boosted by dealers and collectors but by the uncertainty of the U.S. presidential election and the US fiscal cliff as investors have turned to them as a safe haven to protect their wealth.
American Eagle gold coin sales are very seasonal with a bulk of investment seen at the start of the year for the newly minted coins. Sales usually fall off in the summer and then increase in September in sync with the Indian wedding season and also following the lunar New Year, between January and February.
*Post courtesy of Mark O'Byrne at GoldCore. His daily ‘Market Updates’ are quoted and reported on in the international financial press on a daily basis. Read more at Gold Core.
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