Gold Bullion Coin Sales Drop Despite Record Spot Price
In March, the spot price of gold reached a record high of over $2,200 an ounce. Despite this, U.S. Mint sales of American Eagle and American Buffalo gold bullion coins saw a significant drop compared to the previous month.
American Eagle Gold Bullion Coin Sales
In March, the U.S. Mint recorded sales of just 12,000 ounces of the .9167 fine gold American Eagles, down from 19,500 ounces in February and a considerable decline from the 123,000 ounces sold in January. The total cumulative sales for the first three months were 154,500 ounces.
American Buffalo Gold Bullion Coin Sales
The 2024 American Buffalo 1-ounce .9999 fine gold $50 coin sales also saw a decrease, with only 5,000 coins sold in March. The three-month total for this coin stood at 66,500 coins.
Other Precious Metal Bullion Coins
While the U.S. Mint has not released the 2024 American Eagle 1-ounce .9995 fine platinum $100 coin, sales of the 2024 American Eagle 1-ounce .999 fine silver bullion coins in March totaled 850,000 coins, bringing the first quarter sales total to 7.45 million coins.
Authorized Purchasers and Sales Process
The U.S. Mint sells its bullion coins to authorized purchasers who buy the coins at the spot price for the metal on a given day plus a premium. These coins are then made available to collectors, investors, and other dealers at a small markup.
Insight: The drop in sales of American Eagle and American Buffalo gold bullion coins despite the record high spot price of gold could indicate a shift in consumer behavior or investment preferences. Investors may be exploring other avenues in the precious metals market or awaiting further market developments before making significant purchases in gold bullion.