Gyroscopic Investing

I'm looking at buying a small batch of silver coins. Looking around I noticed that the 1oz Silver eagles are significantly more expensive ($36) than the others ($30) with the spot price currently at (edit) $23.

What's so special about Silver eagles?

I'm curious where you're getting a spot price of $28. Kitco shows low 22 dollar range

uhh my brain is wrong.

I saw 22.72 and transposed it to 27.72....and then rounded up. Oops.

I have heard recently that it is specifically a shortage of silver eagles being produced.

The dealers get their allotment from the Treasury and then have to go to open market if that doesn't cover demand. The open market will only sell at higher premiums. This causes the average premium to be higher at retail.

So supposedly if you want a thousand ounce bar there is plenty of supply and it really is just a silver eagle issue.

Interseting. So in a "normal" year an american eagle wouldn't be significantly more expensive than something like a kruggerand?

As far as I know, US govt minted coins have always been available at the highest premium over spot.

I think krugerrands have always been available at the lowest premium, for a government minted coin.

Personally, I would not pay any premium for a government minted silver coin. 1 oz, 10 oz, 100 oz bars are readily recognizable by pawn shops / coin dealers.

In my opinion, all you're doing is paying useless seigniorage to get a US government stamp.

Makes sense. Thanks for your responses today. Cheers!

Eagles are in the greatest demand and I believe easier to sell back to a coin shop. I like Maple Leafs and Brittanias as well. Be a little careful with bigger bars. They are easier supposedly easier counterfeit and a coin shop may want to drill into the bar to check it (maybe a 100 oz bar). I also have a few kilo bars when I was trying to save on premium.