Expert: Joe Hylas - 3/17/2009

Question
Hello Joe,

I am wondering what will happen to the value of my coin collection with the changing dollar.  Do you foresee a time in the near future where the old dollars will no longer be used in lieu of the new colored dollars being circulated?  What about all my actual coinage?  Should the dollar fall, and loose value, what will happen to the value of my coin collection?  The economy being what it is, I am wondering both if the new money being printed will affect the value, and in what way and if the dollar drops, what does that do to my newest and oldest coins?  

Thank you for any input you can provide.

Michelle

Answer
Hi Michelle,

You have to view your rare coins as commodities with fixed supplies.
Modern issue coins such as Presidential Dollars are common, and technically only worth one dollar.
However the older, rare coins are another story.
My belief is that all collectibles will fall in value simply because demand will diminish in this hard economy.
With the exception is extremely wealthy collectors whose lifestyle will not change due to the poor eceonomy, I would advise people to buy gold and silver bullion for the time being.

Gold and silver are money worldwide and will rise as the dollar weakens.  You may not see a profit on the purchase of bullion items but the intrinsic buying power will maintain it's level.
In 1964, gold was $32 per oz and a new MUSTANG was $1600 or the equivelant of 50 ounces of gold.
Today, a nice new Mustang sells for about $40,000.  Would you rather have the original $1600 or the gold?
Hopefully you get the point.  Buy Gold!

Regards
Joe Hylas
www.AllCoins.US
Omega Precious Metals