After experiencing robust sales for much of the year, monthly sales of the United States Mint’s American Gold Eagle bullion coins plunged to their lowest level since July 2007. Meanwhile, monthly sales of the US Mint’s Silver Eagle bullion coins surpassed year ago levels and remain on pace for record annual sales.
During the month of August 2013, Gold Eagle sales measured just 11,500 ounces. This is down sharply from the prior month when 50,500 ounces were sold and also down from the year ago period of August 2012 when sales had reached 39,000 ounces. Until this month, Gold Eagle sales had been running more than 80% above year ago levels.
The recent drop in US Mint gold bullion sales seems to have been caused by an increase in secondary market supply coupled with the seasonal drop in demand. In an article from Reuters published earlier in the month, bullion dealers noted several large liquidations from longer term customers who had purchased at much lower prices. With ample supply coming from the secondary market, dealers would curtail orders placed with the US Mint for newly minted coins.
For the year to date, Gold Eagle sales have now reached 691,000 ounces. This is still up significantly from the total sales of 413,000 in the year ago period.
August 2013 US Mint Bullion Coin Sales
|August 2013||YTD 2013|
|American Gold Eagle 1 oz||9,000||596,500|
|American Gold Eagle 1/2 oz||1,000||48,000|
|American Gold Eagle 1/4 oz||6,000||100,000|
|American Gold Eagle 1/10 oz||5,000||455,000|
|American Gold Buffalo 1 oz||10,000||190,000|
|American Silver Eagle 1 oz||3,625,000||33,075,000|
|America the Beautiful Silver 5 oz||19,000||150,200|
Strong demand continued for the US Mint’s American Silver Eagle bullion coins, with sales for August reaching 3,625,000 ounces. While this amount was down from the prior month, it was up by 26.3% compared to the year ago period of August 2012 when sales were 2,870,000 ounces.
Silver Eagle sales continue to be conducted under the Mint’s allocation program which rations the available supply of coins amongst authorized purchasers. As such, current sales levels are not necessarily a reflection of the full market demand for the coins. The US Mint began allocation after intense demand in January caused a sell out of the entire inventory of coins necessitating a sales suspension.
For the year to date, Silver Eagle sales have now reached 33,075,000 ounces. This is well on pace to reaching a new annual sales record . The current annual sales record of 39,868,500 was reached in 2011.
During the month, the US Mint’s 24 karat American Gold Buffalo bullion coins added sales of 10,000 one ounce coins.
The America the Beautiful 5 oz. Silver Coins added 19,000 units, accounting for 95,000 troy ounces of silver. Sales levels for the 2013-dated designs have reached 31,200 for White Mountain, 23,600 for Perry’s Victory, 22,000 for Great Basin National Park, and 10,300 for Fort McHenry.