news for silver price- Money Morning - Only the News You Can Profit From.
- By Tony Daltorio, Contributing Writer, Money Morning
- February 14, 2013
So far in 2013, buying silver coins has been one of investors' favorite ways to profit from a climb in the white metal's price.
The demand for physical silver from small investors in the form of coins is really remarkable. A record 7.5 million ounces of silver coins were sold in January.
In mid-January, the U.S. Mint was forced to announce that it was forced to suspend sales of the 1-ounce American Eagle silver bullion coins because, after just two weeks, it was sold out of its entire inventory.
Silver bullion coin sales were strong going into the close of last year as investors became concerned over the state of the U.S. economy with Congress debating the fiscal cliff and the debt ceiling.
UBS noted, "With the U.S. Mint reporting notable sales volumes last November - when the U.S. held elections - and again this month when U.S. fiscal issues are at the forefront, it is easy to infer that some element of the 'fear trade' may be at play."
UBS was skeptical of the fear trade, but added "Nevertheless, it is important to keep an eye on U.S. coin sales in the coming months to see if volumes remain elevated as the debt ceiling showdown plays out."
Famous investor Jim Rogers is also a fan of buying silver coins.
"You can't get [silver coins]. They sell out," Rogers, who owns a rare 2013 silver coin, said on Yahoo! Finance's"The Daily Ticker" earlier this month. "Several mints have run out of coins because everybody's worried about the future of the world."