Has anyone else noticed the slowdown in the coin hobby? Except for rare items, I believe I'm seeing prices for coins and collector interest beginning to decrease. With the descending national economy and the bottom falling out of the housing market, it was likely just a matter of time before the coin market was affected. Let's face it, for the most part collectors spend discretionary income on their collectibles. With the high price of gasoline, the rising cost for food, and impending higher heating costs for this winter, many of us who had discretionary money are seeing those funds quickly dry up. Decreasing prices for collector coins is a double-edged sword. It's nice to pay lower amounts for those coins we need, but that also translates to lower values for those coins we already possess.

Along with the decrease in collector-coin values, were seeing huge declines in the commodities markets, including precious metals. Over the last month or two, gold has lost about 20% of its value while silver has lost about 30% of its value. Collectors and investors are taking large hits in the overall values of at least some of their possessions. And, as you know, the old adage that "as goes the metals markets, so goes the collector markets" applies. Drastic drops in gold and silver values seem to always have an adverse impact on the value of collector coins and on collector enthusiasm. I believe the values of collector coins will continue a decline for a while. Even when precious metals values recover, collector coins don't seem to quickly follow suit.

Some economists are predicting reasonable national economic recovery as early as sometime in 2009. Over the next year or so it'll be interesting to see how that potential economic recovery might affect precious metals, and just how badly it all may have affected collector coins. Historically, the majority of collectors have tended to purchase their coins in rising markets. But sometimes the advantage may lie with those who are termed "contrarians" and make their purchases during the downward cycles.

Did you know ...

... that the American Numismatic Society once calculated that Abraham Lincoln's portrait on the obverse of the cent is the most reproduced piece of art in history? The engraving has been around for almost 100 years and has been reproduced each time a U.S. cent is struck - literally billions of times over the years since 1909.

... that Abraham Lincoln appears twice on each U.S. Cent since 1959? His larger portrait appears on the obverse, and his statue appears on the reverse as part of the depiction of the Lincoln Memorial in Washington D.C.

... that the names of 48 of the United States appear around the top of the Lincoln Memorial? There were only 48 states at the time the Lincoln Memorial was designed and built. Of those 48 states, 26 of the states' names appear on the engraving of the Lincoln Memorial on the reverse of the U.S. five dollar bill. Is your state one of those which appears on this piece of currency?

... that Franklin Roosevelt appears on the obverse of the U.S. Dime (10 cent piece) since 1946? His image was placed there to honor him shortly after his death and to help raise money for the March of Dimes in the fight against polio disease. Roosevelt had been stricken with polio in 1921.

... that the Roosevelt Dime, designed shortly after the end of World War II depicts the Torch of Freedom on the reverse along with an olive branch, signifying peace, and an oak branch, signifying strength?

... that John Sinnock designed the Roosevelt Dime, and that his initials appear on the obverse? It didn't take long for conspiracy theorists to claim that the 'JS' initials stood for the name of Soviet Dictator Joseph Stalin. They claimed that Stalin's initials on the dime were proof that Roosevelt had sold out the west at the Potsdam and Yalta conferences near the end of World War II.

... that Woodrow Wilson is depicted on the face of the U.S. $100,000 bill? This piece of currency never publicly circulated. It was designed and printed for use solely by banks to transfer funds to other banks. However, some cancelled pieces did find their way into the marketplace and into collections after a Washington D.C. warehouse fire in the 1940s. The largest currency denomination to circulate in the public realm was the $10,000 bill, featuring a portrait of Salmon P. Chase.

Best Regards,
Ralph J. Huntzinger
WINS#158, President

(some information in this newsletter article was garnered from an article in the Columbus Dispatch by Gerald Tebben 061004)