WASHINGTON - August 17, 2008 - The Gold Anti-Trust Action Committee (GATA) reported Friday that the United States Mint has suspended sales of American Eagle gold coins to their network of authorized purchasers.
The suspended coins are bullion coins (non-collector versions) that the Mint will not sell directly to the public, but instead to authorized purchasers who can then sell to the public.
At the time of this writing, fractional collector proof and uncirculated American Eagle gold coins are still available through the Mint’s website, although the sharp drop in gold prices without a similar reduction in coin prices has resulted in much higher premiums for collectors to assume.
An ounce of gold peaked above $1,000 an ounce as recently as March. Friday, the yellow metal plunged below $800 an ounce - falling more than 8 percent during last week’s trading sessions.
What’s the reason for faltering gold prices? According to a statement on GATA’s website by Chris Powell, Secretary/Treasurer of GATA, the mint’s suspension is supporting evidence of a scheme to lower precious metal prices.
“The suspension is overwhelming evidence that the futures contract price of gold on the commodities exchanges is substantially below the physical market price and that, indeed, the commodities exchanges are being used as GATA long has maintained - as part of a massive scheme of manipulation of the precious metals, currency, and bond markets,” said Powell.
A strong claim, for sure.
One thing cannot be doubted; if gold continues its fall, then expect the mint to suspend their collector gold coins soon - just like they recently pulled American Eagle platinum sales.
American Precious Metals Exchange (APMEX) was reportedly the first to provide details of the mint’s suspension.