Fear associated with the global economic downturn resulted in precious metals, like gold and silver, becoming attractive investments. Inflation also played a major role in boosting the price of precious metals. Inflation, which resulted in currency depreciation, discouraged people from investing in stocks, since currency depreciation has a negative impact on the stock market. People turned to gold and silver, hoping that they would function as safe haven investments.
It has been observed over time that the U.S. dollar, usually is weak in the last quarter of every year. Precious metals peak seasonally, and the peak value is generally attained during the first quarter of the following year. Generally, silver peaks in the month of May. This massive increase in price of silver, however, was the biggest since the 1980s. The reason for this enormous gain was due to the fact that recession resulted in an increase in the demand for metals, like silver and gold. This, coupled with inflation and a weak dollar, was instrumental in pushing up the price of the commodity.
Silver dollar coins have been minted in the U.S. since 1793. Flowing Hair, Capped Bust, Sitting Liberty, Trade, Morgan, Peace, Silver Eagle, and Eisenhower silver dollars coins have been minted in Philadelphia, New Orleans, Carson City, San Francisco, Denver, and West Point. The earliest silver half dollar coin was minted in the year 1794. There are three most popular U.S. silver dollars: (1) Morgan (1878-1921); (2) Peace (1921-1935); and (3) Silver Eagle (1986-to date). These coins, relatively are inexpensive and hence popular. A rare, well-maintained silver coin can fetch a ton of money. The Peace (1928) and Morgan (1878,1891,1893) silver dollar coin values have shown a consistently upward trend in the last 40 years.
☛ Morgan Silver Dollar
The Morgan silver dollar coin derived its identity from the man who designed it; George T. Morgan. A portrait of Lady Liberty constitutes the obverse side of the coin, while the reverse wears an eagle that claws arrows with a branch of olive. With the truncation of the silver dollar due to the coinage law of 1873 not making any provision for the currency, it was the gold dollar that became the unit for transactions. However, the Bland-Allison Act of 1878 resumed mintage of silver dollar coins, thereby featuring the authority of the silver dollar to be used as a denomination to facilitate commercial transaction. Post 1904, the mintage of the silver dollar was an abandoned course. It was only in 1921 that the coinage of the silver dollar was made active, courtesy of the Pittman Act of 1918. The coin, approximately is worth $25, exclusively for its silver content.
☛ Peace Dollar
Issued in the year 1921, continuing coinage till 1935, the peace dollar was a commemorative peace coin. The designer of the coin was Anthony De Francisco. With Lady Liberty gracing the obverse of the coin, a bald eagle is shown clawing an olive branch. It is known to be an overture to silver dollar coins that were circulated in the U.S. It was in 1922 that the Peace dollar found itself free for circulation. However, the design garnered criticism, and retracted from coinage, in order to undergo modifications in the design. It was in 1964 that the mintage of these coins saw the light of the day. However, the coinage was ceased abruptly. The coins that were minted were melted and none were liberated for circulation. The coin is estimated to fetch $26, this being an approximate value. Besides, the rarities, varieties, and the grading system of the coinage decide the final value of the coin.
☛ Silver Eagle Dollar
The Silver Eagle dollar coin had its obverse designed by Adolph A. Weinman. The obverse of the coin is splayed with the elegant Lady Liberty forging toward the sunrise, with laurel and oak branches cradled in her arms to effectuate a symbol of augustness among the citizens. The reverse of the coin has been designed by John Mercanti. This side features a heraldic eagle clawing arrows and an olive branch. It was in the year 1986 that the Silver Eagle Dollar coin was minted with the consistency of 100% pure silver. The melt value for this silver dollar coin is $33.48; this being its approximate value.
For a long time now, the silver to gold availability ratio was 12:1. A ratio of 12:1 would mean that for every 12 ounces of silver, that can be found on the surface of the earth, only 1 ounce of gold is available. Today, the availability ratio is around 8:1, which means that, for every ounce of gold available, roughly 8 ounces of silver can be found on the surface of the earth. In other words silver, which is a less precious metal as compared to gold, is becoming scarce. A scarce metal that has investment and commercial value will definitely increase in price. The ratio between the prices of gold and silver has narrowed over time, and today it stands at 50:1.
We, sure are fond of beholding a silver coin in full glory. Right from the field, exergue, dentils, denomination, legend, device, motto, and the mint mark; we are entranced by the numinous characters of a coin. And who better to scour the minutia of a silver coin than a numismatist! If you are taken to collecting rare coins, know that they fetch a handsome mint. After all, rare is precious, and we cannot act precarious with the precious, can we? Well, if truth be told, we can, but we can’t afford to! What counts in matters of preservation is metal maintenance. With the passage of time, the coin may adopt a deep brown hue. A bluish-green shade, also is acquired over a patch of time. However, make sure you don’t clean the surface. On the contrary, the puce grains splayed over the field of the coin is what raises the value of the coin no end.
Analysts expect the price differential to narrow further, and hence investing in silver dollar coins may be a worthwhile option in the days to come. This relatively inexpensive investment has more liquidity as compared to gold and may be exchanged for staples during the rainy days. Moreover, even if the price of silver does not surpass, or meet expectations, the silver dollar coin value will still increase on account of numismatic worth.