2009 American Buffalo Gold Proof Coin Price Adjustment

Since the US Mint launched the 2009 American Buffalo Gold Proof Coin on 29 October 2009, in a period of 1 month, due to the rapid rise of gold price, the US Mint has adjust its price for their collectors coins - for the Buffalo, for the second time.

Launched at $1,360, the US Mint raised by $50 to $1,410 on 12 November. On 25 November, its price was further raised to $1,460. The spot price was $1,040, $1,121 and $1,195 (new record high to-date) respectively. Meanwhile, 116,500 of 2009 American Buffalo Gold Bullion Coin have been sold in October 2009.

At latest count on 29 March 2010, 49,388 of 2009 American Buffalo Proof Gold coins were sold. Meanwhile, 200,000 of 2009 American Buffalo Gold Bullion coins were sold out in December 2009.

Record Gold Price in Sterling Pounds

A month after reaching then record high of $1,066, 12 November sees yet another record high of $1,121. Prices soften before reaching yet another new high of $1,126 during Asian trade. On 17 November, gold price continue to crash through resistance reaching $1,143 during Asian trade and $1,152.40 in NY Trade.

As I write, gold price was $1,162 before NY opened and has since cleared $1,168. The final resistance ($1,160) was cleared, prompting analysts to re-look and forecast new resistance levels of $1,176 and $1,200 with support at $1,145. With continual weakening of the USD, $1,200 looks likely. And if anyone is saying that gold is rising in only USD terms, well, at $1,166/oz, £701/oz is a new high (£690/oz London PM Fix on 20 Feb 09), while €776/oz is just €6 from its record high of €782. What can stop the rise of the world's most primitive currency?

2008 American Buffalo Gold Coin Price Movement

One year on and on top of a gold rally that sent gold prices to record highs since 13 October 2009, let's look back at the price movement of the American Gold Buffalo Proof 1 oz and fractional and the 2008-W Uncirculated Gold Buffalo coins.

22 Jul 08 13 Nov 08

1 oz Proof US$1,199.95 US$1,049.95 (-12.5%)

1/2 oz Proof US$619.95 US$549.95 (-11.3%)

1/4 oz Proof US$329.95 US$312.45 (-5.3%)

1/10 oz Proof US$159.95 US$164.95 (+3.1%)

4-Coin Proof Set US$2,219.95 US$2,005.45 (-9.7%)

1 oz Unc US$1,059.95 US$999.95 (-5.7%)

1/2 oz Unc US$539.95 US$524.95 (-2.8%)

1/4 oz Unc US$289.95 US$297.45 (+2.6%)

1/10 oz Unc US$129.95 US$129.95 (0%)

4-Coin Unc Set US$1,959.95 US$1,902.45 (-2.9%)

17 Nov 09 (Ave) Range

1 oz Proof US$2,943.52 US$2,899 - 3,003

1/2 oz Proof US$1,293.53 US$1,225 - 1,332

1/4 oz Proof US$953.43 US$917 - 989.95

1/10 oz Proof US$545.40 US$525 - 600

4-Coin Proof Set US$5,469.80 US$5,325 - 5,750

1 oz UNC US$2,910.00 US$2,910.00

1/2 oz UNC US$1,237.40 US$1,179.02 - 1,301.05

1/4 oz UNC US$968.50 US$937 - 1,000

1/10 oz UNC US$472.30 US$450 - 510

4-Coin UNC Set US$4,900.54 US$4,701.08 - 5,100

The above average was taken using transaction done on US ebay in the month of November up to 17 Nov 09.

2008 American Buffalo Gold Coin

The year 2008 was quite a dramatic year for the American Gold Buffalo. The proof version of the Gold Buffalo was issued on 22 July 2008 at US$1,199.95 when spot price of gold was US$946.70. However, its price was adjusted on 13 November to US$1,049.95 (-12.5%) when spot price of gold fell to US$726.50 (-23.26%).

Different from the previous years of issue, the US Mint also issued fractional proof version: $50 face value one ounce coins, $25 face value 1/2 ounce coins, $10 face value 1/4 ounce coins, $5 face value 1/10 ounce coins and the 4-Coin Set containing one of each denomination. In additional, the US Mint also issued the 2008-W Uncirculated version, which were struck on specially burnished blanks and has a 'W' mint mark. The 'W' mint mark was used to distinguish the Uncirculated version from the regular bullion.

However, in late 2008, following the decision by US Mint to suspend sales of the 2008 American Gold Buffalo bullion in September, the US Mint also announced that the newly issued fractional proof version, together with the 2008-W Uncirculated fractional version would be discontinued. Hence, resulting the fractional Proof Buffalo and the 2008-W Uncirculated coins to be a one-year issue.

The mintage of the 2008 American Gold Buffalo are as follows:

Bullion Mintage
2008 Gold Buffalo Coin 189,500


Proof
2008-W $50 Gold Buffalo (1 ounce) 19,591 (11,660)
2008-W $25 Gold Buffalo (1/2 ounce) 12,569 (4,638)
2008-W $10 Gold Buffalo (1/4 ounce) 13,903 (5,972)
2008-W $5 Gold Buffalo (1/10 ounce) 19,294 (11,363)


Uncirculated
2008-W $50 Gold Buffalo (1 ounce) 9,655 (3,124)
2008-W $25 Gold Buffalo (1/2 ounce) 17,679 (3,397)
2008-W $10 Gold Buffalo (1/4 ounce) 10,648 (4,117)
2008-W $5 Gold Buffalo (1/10 ounce) 19,075 (12,544)


It is necessary to note that the figures above include 7,931 sets of the 4-Coin Proof Set, 6,531 sets of the 4-Coin Uncirculated Set and 7,751 sets of 8-8-08 Double Prosperity Set. Figures shown in brackets are that of coins issued individually.

American Buffalo Gold Coin

The American Gold Buffalo was first issued by the US Mint on 22 June 2006 for the price of US$800 when spot was only US$583.10 on that day. It is the first ever 9999 gold bullion issued by the US Mint. The coin design was based on James Earle Fraser's Buffalo Nickel that was first issued in 1913. The gold coin has a face value of $50.

Gold Buffalo Specifications:

Mint Mark: none (bullion coin), W (proof coin)

Weight: 1.0001 troy ounce (31.1035 g)

Diameter: 1.287 inches (32.70 mm)

Thickness: 0.116 inches (2.95 mm)

The 2007 version was issued on 23 May 2007 US$825.95 when spot was US$661.30

Mintage:

2006 Gold Buffalo Bullion Coin: 337,012
2006-Gold Buffalo Proof Coin: 246,267

2007 Gold Buffalo Bullion Coin: 136,503
2007 Gold Buffalo Proof Coin: 58,998

Experts' view

9 November has seen yet another step in record gold price of $1,110.

Commtrendz Research:

mportant support is now at $1,080 and breach of this level could trigger stops. As we have been maintaining a bullish view for some time based on the big picture charts, our view stands vindicated as gold prices tested $1,100 levels. As long as the crucial weekly support at $1,073 remains intact, we feel gold futures could again inch higher towards $1125 or even higher. The rally does not indicate any signs of exhaustion yet. Unexpected fall below $1,073 could trigger a corrective fall towards $1,025 or even lower towards $1,011. Only a deeper fall below $1,007 will indicate bearishness. Such a fall could take it lower towards $980 or even lower towards $928.

Elliot wave analysis indicates a possible fifth wave move in progress. This has been confirmed on rise above $978. A potential fifth wave target lies at $1,100, which has been met. RSI is in the neutral zone now indicating that it is neither overbought nor oversold. However, signs of negative divergences are seen now. The averages in MACD are still above the zero line of the indicator indicating the bullish trend to be intact. Therefore, look for gold futures to test the resistances levels and then correct lower subsequently. Supports are at $1083, $1,072 & $1,045. Resistances are at $1,100, $1,125 & $1,160."

Novice view: This should be it. Unless Russia joins in the buying spree, I don't see it going to clear $1,125 for 2009. Gold/Silver Ratio is more than 60/1. Unless silver plays catch up, else, with stock indices looking good, there is no incentive to chase gold.

Record Gold Price

Thinking that $1,066 on 13 October was a new high, 3 & 4 November saw series of new highs of $1,088.50 and $1,098 respectively. Now, as an online diary, it would be good to keep a record of yet another new high above $1,100 at $1,100.90 before it eased to $1,095 for 6 November close. Such movement has prompted me to unfreeze this blog.

India's 200-ton haul has spark off Sri Lanka's action, which analysts estimated a 5-ton purchase. So it looks like spot gold would hold on for some time above $1,000.

I've also renamed this blog from 'Silver Numis' to 'My-Numismatic-Collection' to record my path of collection, which includes the American Gold Buffalo and Australian Gold Dragon.