GOLD 00.00 1.20 0.00%
SILVER 00.00 1.20 0.00%

Metal Market Report December 2021 - Week 1 Edition

December 2021 - Week 1 Edition

During November, Gold Staged a Quiet Rebirth while the stock market declined, and all of the other precious metals also declined. Gold stood out as an inflation hedge and a crisis hedge, as silver and the platinum group metals dropped on the lagging industrial recovery due to shipping port bottlenecks and supply chain disruptions, as well as COVID-19 outbreaks. The stock market was set for its traditional Thanksgiving rally and November gain, but “Black Friday” turned that around, and a “Blacker Monday” made matters worse.

During November, the U.S. Dollar Index gained 2.2%, making gold’s rise even more impressive. That means gold rose 4.2% (2.0% + 2.2%) in “currency-neutral” terms, and more than that in terms of the euro,

The Dow’s and Russell 2000’s recent declines – along with a value drop for Bitcoin - are a reminder that gold has been the only proven stable form of money for over 3,000 years of recorded history.  GOLD is traditionally considered the “last resort” when the paper money supply becomes inflated beyond any restraint, and federal spending and deficits become bloated beyond any historical precedent.  Gold is up 512% this century while silver is up 329%, the Dow is up 200% and the S&P is up 211%.

The U.S. Mint Continues to Meet Skyrocketing Gold Bullion Coin Demand

As you know, we have been tracking detailed monthly sales at the U.S. Mint for the past few years, but seldom have we covered the long-term picture. Now we learn, according to the World Gold Council (WGC), that gold bullion sales by the U.S. Mint are on track for the best year since 1999.

The U.S. Mint continues to outpace its strong sales record from 2020 and is on a track to reach its best sales year of the new century for gold bullion coins. During November, the Mint sold 126,000 Troy ounces of Gold American Eagles, up 48% from the 85,000 sold in November of 2020, and over 10 times the amount it sold in November of 2019 (just 11,000 ounces). For the first 11 months of 2021, the Mint has sold over 1.2 million ounces of Gold American Eagles, up 51% from 794,500 sold in the same period in 2020.

Buffalo 1-ounce gold coins sold at a pace of 39,000 ounces in November 2021, up 66% from November 2020, and the total Buffalo Gold sold year-to-date reached 339,500 Troy ounces, up 47% from the same period in 2020.

Silver American Eagle sales are roughly the same in 2021 at 28,198,500 ounces, year-to-date, as in 2020.  Both 2021 and 2020 Silver American Eagle sales totals are about double the sales in 2019.

Due to the recent declines in precious metals prices, none of the major banks or institutional investors is yet courageous enough to predict super-strong metals prices for 2022, but just wait until GOLD climbs to $2,000 per ounce and you will see the predictions discussing $2,500 and $3,000 gold all over again!  Call our professional account representatives today to find out the best buys currently available in our inventory.

Get to know the “Team Mike” Professionals at Universal Coin & Bullion Working with Dr. Mike Fuljenz, America’s Gold Expert®

Josh Baldwin
Universal Coin & Bullion Sr. Account Representative

Josh has worked for the company for 14 years and has a degree in psychology from Lamar University. He grew up in Beaumont, Texas and chose to stay here after college working in the precious metals industry. Josh has been married for 12 years to his college sweetheart and they have three children – twin six-year-olds, and a 10-year-old going on 16, he joked. The family has also been adopted by two precious pups, Daisie and Elvis.

Josh is a volunteer with the Hamshire-Fannett Little League and loves Texas Rangers baseball. His other community involvement includes volunteering with Boys’ Haven and helping to promote the inclusion of children and adults with intellectual and developmental disabilities through his work with the Arc of Greater Beaumont. Josh also participates in the Watch D.O.G.S. program, which encourages dads and other male role models to get more involved in their children's education. Josh is a life member of the NRA and a member of the Pi Kappa Alpha Alumni Association.

For Josh, his love of coins revolves around $20 Liberty gold coins and burnished American Gold Eagles. Josh lives by the motto, “Pray for the best and prepare for the worst.” He has often said his mission is to, “save the world, one gold coin at a time.”

As for his absolute favorite coin, it is the $20 1879-O Liberty minted in New Orleans because there were so few made – 2,325 to be exact. This Type III coin is a beautiful specimen and considered an anchor to any Type III $20 Liberty set.


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