Gold and Silver Coin Sales Up in February

(prHWY.com) March 9, 2013 - Phoenix, AZ -- March 9, 2013

Much of the gold and silver trading media has been focused on the recent decline in both gold and silver prices, and what it means for both current and potential investors. Some attention has also been paid to early signs in the past few weeks that the decline may be turning around, and gold and silver prices may be heading back in the direction of record setting price highs in the near future. Both of these trends have helped sales of gold and silver coin sales soar in the month of February.

Year over year gold and silver coin sales more than doubled in February. Some performed even better. For example, American Eagle gold coin sales were up +283% year over year, and about 3.4 million ounces of silver coins were sold, more than twice as many as February 2012.

The primary reason for this increase is because of the lower prices for both gold and silver. Prices for both precious metals dropped in the early months of 2013, causing a bit of panic among some investors. However, some people also saw the lower prices as an opportunity to invest in both gold and silver, and took advantage. Many financial experts believe the prices are on the rise again, so this window of opportunity to invest in both gold and silver while prices are down is closing.

Why coins?

The decrease in price of gold and silver affects all forms of the metals, and not just coins. So why did coin sales spike so high in particular? The main reason has to do with who is buying the coins. Coins, particularly silver coins, are typically a less expensive investment option than buying bars, and a safer investment than buying gold and silver stock, given the stock market troubles many people have experienced in recent years. Coins are typically purchased by investors with smaller budgets. In other words, they are purchased more frequently by "real" or "everyday" people.

The fact that coins are being purchased more commonly by the masses is also a sign that the prices for gold and silver will increase in the near future. In short, demand for gold and silver coins is up. Economics 101 tells us that when demand is up, prices will increase as well. Taking this into consideration, and given the fact that gold and silver prices are still quite low, most experts would agree that the time to invest in gold and silver is now.

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