Sales of American Gold Buffalo Coins Fell In March
After surging 58% year over year in February, sales of American Gold Buffalo coins fell 26% in March. The decline was similar to the decline in March of the sale of American Gold Eagle coins which fell 18% in March after rising 440% in February.
The U.S. Mint sold 7,000 one ounce 24K American Gold Buffalo coins in March 2016. This reflects a 26.3% decrease from sales of American Gold Buffalo coins in March last year (when 9,500 were sold). March sales of American Gold Buffalo coins were down from the 19,000 sold in February 2016.
Sales of American Gold Buffalo Coins in March 2006 – 2016
About the American Gold Buffalo Coin: American Gold Buffalo coins are 24K gold while American Gold Eagle coins are 22K. One ounce American Gold Buffalo coins are slightly smaller and lighter than their one ounce American Gold Eagle counterparts that contain 3% silver and 5% copper mixed in the alloy, bringing the total weight of a one ounce American Gold Eagle coin to nearly 1.10 ounces.
The American Gold Buffalo is the U.S. Mint’s answer to 24K gold coins issued by the Canadian and Austrian Mints. American Gold Buffalo coins are only minted in one ounce sizes, unlike their American Gold Eagle counterparts which are minted in one ounce, one half ounce, one quarter ounce and one tenth ounce sizes. In 2008, however, the U.S. Mint produced American Gold Buffaloes in one, 1/2, 1/4 and 1/10 ounce sizes. The coins were sold individually and in complete sets.
American Gold Buffalo 2016 Sales Projection
If sales of one ounce American Gold Buffalo sales continue at an average of 20,000 month. (60,000 sold from January -March), sales in 2016 would be about 240,000. The annual record for sales of American Gold Buffalo coins is 323,000 set in 2006, the first year of the coin’s mintage.
Sales of One Ounce American Gold Buffalo Coins 2006-2015
Total U.S. Mint March Gold Sales – 45,000 Ounces
When March sales of American Gold Buffalo coins (7,000 ounces) are combined with American Gold Eagle (AGE) sales, including one tenth ounce AGEs (7,500 ounces); one quarter ounce AGEs (1,000 ounces); one half ounce AGEs (500 ounces) and one ounce AGE coins (29,000 ounces), the total gold sold at the U.S. Mint in March was 45,000 ounces.
In February 2016, the U.S. Mint sold 102,500 ounces of gold across all products.
Sales of gold at the U.S. Mint have not been as robust in 2016 as sales of silver. Sales of American Silver Eagles are on pace to set a record for the fourth year in a row. Perhaps the low price of silver relative to gold is driving the proportionally higher sales of silver to gold. In 2016, the U.S. Mint has sold approximately 80 times more silver than gold and the gold silver price ratio is at a near all-time high of 80:1. The price of gold rose about 16% in the first quarter of 2016, while the price of silver rose about 10%.
American Gold Buffalo sales data from USMINT.GOV
This article by BGASC is not, and should not be regarded as, investment advice or as a recommendation regarding any particular course of action.