December 21, 2009

As uncertainty in the banking industry continues, American Buffalo gold coins continue to be a strong investment. Authorized by President George W. Bush in 2005, this is the first .9999 fine, 24-karat gold coin ever produced by the United States Mint. In production since 2005, the coins continue to be a favorite for many investors.

The US Mint sells these bullion gold coins for a small amount over the current spot price of gold, but only to authorized purchasers. The purchasers then resell them to coin dealers, precious metal providers and directly to the public. Because they do not have a heavy price mark-up, investors are able to buy these coins for competitive prices.

With the continued instability of the stock markets and a $750 billion federal bailout of the US banking system, bullion gold coins continue to be a highly popular investment option. Although none were produced in 2009 until October, the sales have been brisk since they became available. The United States Mint sold 110,500 of these one-ounce in the first two weeks after their 2009 release. By comparison, this sales figure to bullion dealers represents 64.2 percent of the 172,000 American Buffalo gold coins that were sold in all of 2008.

As stocks struggle and banks receive billions in bailout funds, American Buffalo gold coins are still a strong investment. As gold prices have pushed over $1,100 per ounce, dealers and private individuals have been aggressively buying gold bullion. For many, the American Buffalo represents an excellent commodity to purchase for investment. 

Kevin Johnson

Senior Staff Writer – GoldCoin.net