Gold & Silver Continue To Build The Base – 2020 Palladium Eagle
| Stuppler & Company is proud to release this Weekly Market Report (WMR). The report gives an overview of the prior week’s precious metal and rare coin market activity and news. In each WMR we share the current status of Gold and Silver along with their support and resistance levels. |
 CLICK HERE FOR NEW Morgan Silver Dollars |
|
|
|
This Week's Headlines: |
Last Friday Gold closed at $1,950 per ounce, up $12 for the week on normal volume. During the trading week, Gold showed excellent stability, closing all five days of trading within a $20 range. Since August 13th, Gold has traded between $1,902 and $1,998 per ounce. If that isn’t base building and a great example of price consolidation, nothing is. I think we are now ready to move on to set a new all-time high of $2,200 before year end.
During last week, Gold appeared to be ready for a move above $1,975 on Wednesday. Then came disappointing news from Federal Reserve Chairman Powell at a news conference. Although he confirmed the Federal Reserve was going to keep interest rates low for years, he failed to give guidance on any new stimulus that the Federal Reserve would provide to help with the COVID-19 crisis.
Other economic news that negatively affected the Gold price was August U.S. Consumer spending, which only fell 0.1%. As millions of Americans were impacted by a lack of extended unemployment benefits, the feeling was U.S. consumer spending would drop 0.5% after an increase of 0.9% in July.
I look for Gold to move back above $2,000 later this month, but I wouldn’t be surprised to see the bears attempt to break the important $1,900 support level before the Gold rally starts. STAY BULLISH ON GOLD/SILVER AND ENJOY THE RIDE.
Today: A sizeable 1% rally in the U.S. Dollar Index combined with concerns about fresh worldwide coronavirus-driven lockdowns has driven down all financial markets today. Plus, the inability of Congress to agree on more fiscal stimulus raised fears about another hit to the domestic economy. Gold broke below the key $1,900 support level, reaching a low of $1,880 before see bargain buying. Gold needs to close above $1,900 today to stay short-term bullish.
After weeks of high volatility, Silver showed excellent price stability last week, closing above $27 per ounce all five trading days. Like Gold, I’m impressed with Silver’s recent price consolidation. Physical demand for the popular Silver investment products has recently picked up substantially as premiums have dropped. In the first six months of 2020, the U.S., Canadian, and Perth official mints sold 34.9 million ounces of Silver bullion products versus 24.1 million ounces during the same period last year. See How Much Silver Bullion Was Sold by The Top Three Official Mints So Far This Year? The Silver-to-Gold ratio moved higher last week, closing last Friday at 72.32-to-1
Today: Silver got slammed this morning, dropping with the Gold price at a much faster pace. Silver broke below major support at $25 per ounce and reached an amazing low of $23.65 this morning on heavy selling before finding bargain buying.
As many of our clients know, the U.S. Mint has plans to officially release the new 2020 1oz Palladium Eagle on September 24th with a mintage of 10,000. I believe the mint will produce a burnished coin, but it will be confirmed with prices by this Wednesday, just prior to the launch. Mint State Gold has received several requests to pre-order this coin with a perfect grade of 70 by PCGS and/or NGC. That all being said, we want to give our clients an overview of the best strategy to use to purchase this coin at the lowest price.
Two things to consider with this year's issue: the mintage of only 10,000 and that, for the first 24 hours, the U.S. Mint is restricting sales to 1 per household. We estimate that about 5,000 coins will be sold to “High Margin Dealer Buying Groups” the first day. Those groups will be the first to market, offering exclusive labels at astronomical prices. This has been done numerous times in the past ten years with tremendous losses to the collectors.
We are strongly advising our customers to hold off buying the First Day of Issue at ridiculous prices. However, if the Buying Groups can purchase all 10,000 coins, history has shown the price will come back to reality in 3-6 months when their sizeable promotion and marketing periods end. At that point, we will be able to purchase their excess supply at a greatly discounted price. This will work to our clients' benefit in the end.
Assuming everything goes as expected, we plan on purchasing a few hundred coins on the second day directly from the U.S. Mint. The coins will then be graded First Strike by PCGS or Early Release by NGC and our customers will get the best price. We will be offering these, as always, at a realistic, fair market price to our clients directly.
To pre-order the 2020 Palladium Eagle, please email us at [email protected] or [email protected] to let us know if you prefer the coin in either perfect 70 by PCGS in First Strike or NGC Early Release. We will also be offering the coins in the Original Mint Packaging at the same price the U.S. Mint offers the coins if you wish to purchase them as well! Once we confirm our purchases with the Mint after September 25th, we will be happy to contact you on a first requested basis.
| Thank you Barry + David StupplerMintStateGold.com by Stuppler and Company[email protected] 1-888-454-0444 |
|||
Barry Stuppler |
David Stuppler |
||
 |
|||
All statements, opinions, pricing, and ideas herein are believed to be reliable, truthful and accurate to the best of Stuppler & Company’s knowledge at this time. Stuppler & Company disclaims and is not liable for any claims or losses which may be incurred by third parties while relying on information published herein. Individuals should not look at this publication as giving finance or investment advice or information for their individual suitability. All readers are advised to independently verify all representations made herein or by its representatives for your individual suitability before making your investment or collecting decisions. |
|||
