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Gold Price Climbs Amidst Record Central Bank Buying and Tensions in the Middle East

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The spot price of gold rocketed past $2,400 per ounce in Asia this morning, topping out at $2,429.70 before the tamp down by the Wall Street after the New York opening bell. By afternoon, the price had settled down to around $2,342, $87 lower.

While consumers in China have been buying up small gold beans, the People’s Bank of China (PBOC), the country’s central bank, has been buying vast quantities of gold over the last couple of years while simultaneously dumping US Treasury Bonds and dollars.

Even though gold prices continue to trend upwards, consumers demand for gold in the United States keeps getting stronger.

An analyst from Wells Fargo estimates that Costco is likely selling between $100 to $200 million worth of gold each month. Based on the typical premiums that Costco prices their gold products, that’s somewhere in the range of 43,500 to 86,000 troy ounces per month.

By comparison, APMEX, one of the largest online bullion dealers has annual sales of around $2.4 billion, which is also around $200 million per month. A-Mark, one of the largest precious metals wholesalers, which owns JM Bullion, Provident Metals, BGASC and others, reported $9.3 billion in sales in its 2023 annual report.

Some industry analysts have speculated that China has taken over control of the gold price since the middle of 2022. In 2023, the PBOC bought roughly 735 tonnes of gold, a 23% increase over the record breaking buying of 597 tonnes in 2022.

Additionally, the Chinese government has created strong consumer demand for gold, particularly for younger generations that view gold as safe haven amid ongoing economic uncertainty.

Costco has limited their precious metals products to mostly 1 troy ounce coins and bars. With prices continuing to test record highs almost weekly, a more affordable investment option that many investors turn to is fractional gold bars and coins.

The US Mint issues the American Eagle Gold coin in three fractional denominations of 1/2 oz, 1/4 oz and 1/10 oz. Each of these fractional Gold Eagles shares the same design, purity, recognition and trust as the 1 oz coin, but are minted in smaller denominations that are more accessible to a wider range of investors.

These coins are minted in mass quantities by the Mint and are extremely liquid with an expansive amount of bullion dealers and others paying cash for gold.

Fractional gold bars are available in many different increments. With available sizes as small as 1/2 gram. However, the premiums for the smallest sizes can be relatively high. While denominations containing 5 grams or 10 grams of gold per bar can offer significantly lower premiums.

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Flipping Costco Gold Coins for Profit

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In some areas, it has become profitable to flip the 1 oz Gold Coins for a tidy profit. Depending on inventory levels, many local coin shops will pay a premium above the melt value for current year gold coins that are kept in their original Mint State condition.

Some investors are buying gold coins from Costco below melt value when factoring in the rewards. The premium on Costco’s gold coins appears to average around 2.5%. Once receiving them, they bring them to their local coin stores to sell back. If your local coin store will pay 3% above melt, then without factoring in other rewards, its possible to make a quick .5% profit.

Costco Executive members earn 2% cash back, up to $1,000 annually. This is essentially an annual rebate that must be spent on other products in the warehouse. When factoring in other credit card rewards, the potential profit from these transactions can increase by a few percentage points quickly.

The Costco Citibank card, for example, offers 2% rewards for all purchases at Costco and it is possible for those rewards to be deposited as cash into your bank account. Though you may have a better deal with the cards in your wallet.

The practice of flipping gold coins for profit as a side hustle has been around for a long time. Some investors hold onto coins for the arbitrage when the price of gold increases. Other investors look for opportunities to flip coins for a profit.

The profitability can vary depending on which part of the country you’re in and the number of gold investors in your local coin shop’s customer list.

Many investors find great deals on eBay, particularly for historic and vintage gold coins. This includes US Mint Pre-1933 gold coins and circulated gold coins from Europe, such as 20 francs and British Sovereigns. There are many trusted and reputable bullion dealers that use eBay as a sales platform to liquidate excess inventory, such as APMEX, Liberty Coins, Aydin Coins and Pinehurst Coins.

Having a good relationship with the folks at your local coin store is important. They have the best understanding of which coins collectors and investors in the local area have the most interest in, as well as a customer list of willing buyers.

They can also give you an idea of the prices they would be willing to pay, particularly for coins that are graded and encapsulated by reputable third-party grading services like NGC, PCGS and ANACS.

Graded Gold Coins are generally the most liquid and easiest to sell, as they provide verification of the authenticity as well as the condition.

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Costco Selling $100 to $200 million of gold per month, Wells Fargo

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In a letter to investors, an analyst from Wells Fargo estimates that Costco may be selling up to $200 million in gold each month.

Based on recent spot price averages, that would mean the brick & mortar retailer may be shipping up to 85,000 troy ounces of gold each month, the equivalent to around 2,400 kilos of gold.

Earlier in the year, Costco stated that gold sales contributed around $100 million in revenue in the final quarter of last year when they first began the offerings.

Since then, Costco has been making regular offerings of gold coins from both the US Mint and Royal Canadian Mint, such as the 1 oz Gold Buffalo and 1 oz Gold Maple Leaf coins.

The offerings have also included various denominations of gold bars from PAMP Suisse and RAND Refinery. In addition to the 1 oz Lady Fortuna gold bars, there have been sales of the PAMP Multigram+25 gold bars as well as larger sizes such as 50 gram and 100 gram gold bars.

The premiums that Costco charges seem to be roughly 2-3% over spot, which is a great deal for current year coins. From online bullion dealers, the premiums for current year gold coins are typically around 4.5% at the low end, while secondary market coins will usually be in the 2-3% range.

Costco offers their Executive members a 2% reward, which allows these members to buy gold coins below spot price. When shopping online for these deals, the best practice is to use a credit card that offers additional rewards in the form of cash back. The industry average credit card rewards adds an additional 2%, which some offer more.

The spot gold prices have been hitting record all time highs in recent weeks, overall gold is up around 13% YTD. Industry analysts suggest that the mass buying by the central banks of BRICS countries, along with persistently high inflation in the US, and record high government debt are major contributing causes to the surge.

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Zimbabwe Launches Gold Backed Currency to Replace Dollar

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Despite being one of the most mineral rich nations in Central Africa, the economy of Zimbabwe has been a mess for decades.

To help battle the latest round of inflation, the Central Bankers and politicians are turning to the oldest form of money known to civilization. This week, Zimbabwe launched a new “structured currency” backed in part by gold.

The new currency is called the “Zim Gold”, or more simply “ZiG”, and will be backed by a basket of assets that includes foreign currencies, gold and other minerals.

John Mushayavanhu, the governor of Zimbabwe’s Reserve Bank said the ZiG would circulate alongside a basket of other currencies would also introduce a market-based exchange rate.

“With effect from today … banks shall convert the current Zimbabwe dollar balances into the new currency,” he said.

The moved is aimed at establishing confidence in the country’s central banking system which has been in an extended period of hyperinflation since 2007.

The new banknotes come in eight denominations ranging from one to 200 ZiG. The new notes feature a drawing of gold ingots being minted, as well as Zimbabwe’s famous Balancing Rocks, which already appeared on the old ones.

Zimbabweans have 21 days to convert their old cash into new money, Mushayavanhu said.

The ZiG appears to be culminating from developments within the BRICS related countries, which have been reportedly leaning towards a commodity basket common currency for trade between countries. The development of the ZiG mirrors what has been happening in other countries.

Brazil adopted the Chinese Yuan in 2023 for use in international trade and provided a proposal requesting that Argentina accept the backing of a trade deal with Yuan.

Although the dollar remains the dominant currency in both countries, the Yuan has become the second largest currency in Brazil, overtaking the Euro.

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Gold Price Cracks $2,300 oz and Holds Steady

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The price of gold rallied past $2,300 per ounce on Thursday, shocking retail investors and marking a new all time high for the shiny metal. During mid day trading today, the price was holding steady above $2,320.

It’s no secret that in recent years central banks have been buying gold. Last year, China’s central bank ran through several rounds of gold buying, acquiring 225 metric tons, representing roughly 25% of the overall central bank purchases of 1037 tons acquired by governments’ last year.

Reports are surfacing that China could be sitting on an unpublished stash exceeding 5,300 tons of gold bars, doubling the 2,235.39 tons in the holdings reported through Internation Monetary Fund statistics.

Despite recent reports of positive economic data, inflation remains rampant with interest rates stuck at the highest levels in decades. The inflation problem continues to baffle the Federal Reserve, with recent remarks from Chairman Powell suggest that they may be reconsidering a rate cut in the near future.

With gold investing seeing a resurgence in popularity among Gen Z in China, the Wall Street Journal is reporting that Millennial investors are the leading buyers of Costco gold bars. According to the study, a growing number of Millennials recognize gold as a store of value and hedge against economic uncertainty, with the average having up to 17% of their net worth in gold. While Baby Boomers allocate only around 10%.

Gold has historically been seen as an effective hedge against inflation. The ongoing dedollarization efforts driven by BRICS have played a roll in driving the price higher. When currency values decline, gold prices rise helping to preserve purchasing power.

For retail investors, Gold Coins are one of the most highly liquid tangible asset. Coins are widely recognized and can be easily bought and sold from online bullion dealers, local coin shops and others.

Gold coins are minted in a variety of industry standard weight denominations that enable investors with varying budgets to participate in the gold market.

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HSBC Launches Gold Token, Chinese Investors Turning to Gold Beans, SWIFT Planning CBDC Rollout

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HSBC has launched a gold token for retail investors in Hong Kong. The token is backed by physical gold held in the bank’s London vault and is powered by distributed ledger technology. This allows for efficient and cost-effective tracking of allocated and unallocated gold holdings. The token is equivalent to 0.001 troy ounce of gold, enabling fractionalization of gold bars and direct investment by retail investors. Coindesk has further details.

China’s Gen Z Prefers to Buy Gold Beans

In recent years, young Chinese investors, particularly those from Generation Z, have shown a growing interest in purchasing gold “beans” as a form of investment. These gold beans are small, pill-sized gold products weighing around one gram and priced between 450 to 600 yuan. Each gold bean is a little larger than the casting grain utilized by jewelers. The trend has been driven by economic instability and as a way to preserve wealth in a tangible form.

Gold beans have become popular among young Chinese investors due to their affordability and the belief that gold is a safe and low-risk investment option. This trend is reflected in the surge of gold sales in China, which reached a six-year high in December 2023. Buying one or two grams per gold per week is a good way to store tangible wealth.

SWIFT Plans CBDC Roll Out in the Next Two Years

SWIFT is collaborating with Capgemini to conduct new experiments to test how they can interlink domestic CBDCs and take the next step towards seamless cross-border payments involving digital currencies. This time they are testing how SWIFT can interlink the multiple domestic-based CBDC networks emerging worldwide to make cross-border payments with CBDCs more seamless and frictionless.

This important step forward builds on the core capabilities of the SWIFT banking network and means that as CBDCs and tokens develop, they can be rapidly deployed at scale to facilitate trade and investment between more than 200 countries and territories around the world. SWIFT is trying to catch up to the efforts by BRICS countries in facilitating local currency transactions along with a return to a gold standard. TechReport.com has more details.

Recent Additions to Gold Coin Price Tracking

FindBullionPrices.com already tracks the prices of dozens of 1 oz gold coins from many trusted and reputable precious metals dealers. Additional coins have been added in recent weeks, providing additional options for investors looking for the lowest premium gold coins.

2024 1 oz Beowulf and Grendel Gold Coin

From the Royal Mint, the 2024 1 oz Beowulf and Grendel Gold Coin is part of a new series which celebrates the great battles from the poem Beowulf. Beowulf, believed to have been originally written in the 8th century is considered the highest achievement of Old English literature.

The series starts Beowulf’s heroic first tale, the battle against the swamp monster Grendel. The reverse shows the Beowulf in a defensive position with his spear at the ready, while Grendel towers above. Inscriptions are included for the year, weight, .9999 fine gold purity. The obverse of each 1 oz gold coin from the Royal Mint contains an obverse portrait of King Charles and this one is no exception and includes the face value.

2024 Britannia and Liberty 1 oz Gold Coin

The 2024 Britannia and Liberty 1 oz Gold Coin is the first issue of a new collaboration between artists and sculptures from both the Royal Mint and the US Mint. The teams worked together on the reverse design, which combines the portraits of Britannia and Lady Liberty into a single design.

Right side up, the coin shows Britannia wearing her helmet and carrying a trident in her hand. The 180 degree flip shows a modernized interpretation of lady liberty holding the flaming torch.

The Royal Mint is a government-owned mint that produces coins for the United Kingdom. It is responsible for manufacturing and distributing coins for the UK, as well as producing and selling commemorative coins and medals.

The Royal Tudor Beasts collection is continued with the 2024 Seymour Unicorn 1 oz Gold Coin. The reverse features the Seymour Unicorn, which represents the strength and purity of the union between Henry VIII and Jane Seymour. A distinct surface animation background is incorporated into the chain mail surface texture providing adding an additional point of anti-counterfeiting security.

There are many 1 oz gold coins from the Royal Mint that are highly sought after by collectors and investors because they are known for producing a wide range that includes intricate and beautiful designs, while also employing advanced security features to prevent counterfeiting and ensure authenticity.

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How do the prices of Costco Silver and Gold Coins and Bars Compare to Online Bullion Dealers?

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In a move that caters to the growing interest among consumers, Costco has broadened its selection of precious metals, introducing an array of new coins and bars to cater to the growing interest in tangible assets. The addition includes a variety of gold and silver coins and bars from renowned mints around the world, making it easier for members to diversify their investment portfolios.

The new lineup features investment-grade bullion coins such as the American Gold Eagle, Canadian Maple Leaf, along with various sizes of gold bars from PAMP Suisse and the RAND Refinery. These offerings are tailored to both seasoned investors and those new to precious metals, providing competitive pricing that aligns with Costco’s commitment to value.

Costco is able to leverage its membership model to offer competitive pricing on precious metals, while providing members with Cash Back rewards that can be accrued alongside credit card rewards. This combination is helping to undercut traditional coin dealers or precious metals retailers.

The coin offerings have included both gold and silver coins from the US Mint and the Royal Canadian Mint. This move by Costco follows a broader trend that reflects a mainstream acceptance and interest in precious metals as both an investment and long term store of value.

US Mint

The US Mint began minting bullion coins for investors in 1986 after the passage of the Liberty Coin Act. Along with the Gold Bullion Coin Act of 1985, these two laws require the U.S. Mint to produce and sell the American Gold Eagle and the American Silver Eagle in both bullion and proof finishes in sufficient quantities to meet demand from investors and collectors.

The coins are issued as a vehicle to provide consumers with a trusted tangible asset. At the time of the introduction, the economy was in recovery from a recession that was triggered by increases in oil prices by OPEC starting around 1979 and dragged on until 1982. In the first two years of minting, more than 16,835,340 Silver Eagle coins were sold.

US Mint Gold Coins

The most popular gold coins from the U.S. Mint are the American Gold Eagle and the American Gold Buffalo. These coins are significant to investors for their gold content, legal tender status, historical and aesthetic appeal. Both coins are backed by the U.S. government, ensuring their gold content and purity.

They are both highly recognized and traded worldwide, providing liquidity to investors looking for a tangible asset.

2024 1 oz American Buffalo Gold Coin

2024 1 oz American Buffalo Gold Coin

The American Gold Buffalo was first issued in 2006 as the U.S. Mint’s answer to pure gold bullion coins like the Canadian Gold Maple Leaf. It is the first 24-karat gold coin from the U.S. Mint.

It features the classic design of the Indian Head nickel or Buffalo nickel, with an image of a Native American on the obverse and an American buffalo on the reverse, both designed by James Earle Fraser.

The Gold Buffalo is 99.99% gold (24 karats), and has a face value of $50 and is also recognized as U.S. legal tender.

One of the most recent times that the Gold Buffalo was in stock, it was priced at $2099.99. At the time, the gold spot price was trading around $2049, indicating only a $50 markup or roughly 2.5% dealer premium. Normal dealer premiums typically range from around 4% to 10% above the spot gold price. While the Costco price beats out the national bullion dealers, the gold coins have typically sold out within an hour or two as experienced investors pounce on these deals.

Costco Product Page: Item #1799474

2024 1 oz American Gold Eagle Coin

2024 1 oz American Gold Eagle Coin

Introduced in 1986, the American Gold Eagle is available from bullion dealers in four sizes: 1 oz, 1/2 oz, 1/4 oz, and 1/10 oz. However, only the 1 oz Gold Eagle is available from Costco, making this offer limited to investors with a larger budget.

The US Mint provides investors with fractional gold coins that allow for investors having more modest budgets to invest in a long-term store of value and wealth. This variety allows investors to choose based on their budget and investment strategy.

Costco offered the 1 oz Gold Eagle in late February with a price of $2,089.99 with each member limited to just two coins. That day, the spot gold price closed at $2,036.00 per ounce, a dealer premium of $53.99 per ounce or slightly higher than 2.5%.

Typical dealer premiums on current year gold eagles range from as low as 3.5% to around 8%. When Costco Gold Eagles are available for purchase, they are typically sold out within an hour or two. The addition of the Membership Rewards for their Executive Members offers an additional 2% cash back that can later be used on future Costco purchases, including precious metals.

Costco Product Page: Item #1804545

US Mint American Eagle Silver Coins

2024 1 oz American Silver Eagle Tube of 20 Coins

The American Silver Eagle is a one-ounce silver bullion coin issued annually by the United States Mint since 1986. A standard mint tube of Silver Eagle coins usually contains 20 coins. Each coin is one troy ounce of .999 fine silver. The coins are packed tightly in a tube to prevent movement and reduce the risk of scratching or damage during shipping.

Tubes of Silver Eagle coins are made available for sale periodically. The availability of Silver Eagle coins from Costco is limited and the pricing is typically similar to other online bullion dealers. It’s important to compare prices of Tubes of Silver Eagle Coins before making a purchase.

Costco Product Page: Item #1789494

2023 1 oz American Silver Eagle Tube of 20 Coins

Costco Product Page: Item #1799373

Royal Canadian Mint

Founded in 1908, the Royal Canadian Mint has established a global reputation for its innovative coin designs, high-quality craftsmanship, and advanced security features

The RCM is a prestigious institution, producing high-quality, pure gold and silver coins, with the Canadian Gold and Silver Maple Leafs being their flagship products. These coins are widely recognized in international markets and are considered to be a highly liquid investment.

Canadian Maple Leaf Silver Coins

2024 1 oz Canadian Maple Leaf Silver Coin Tube of 25 Coins

Maple Leaf silver coins are our Northern neighbors’ equivalent to the Silver Eagle and are suitable as an investment or store of value. The key advantages that Maple Leaf silver coins have over the Silver Eagle are:

  • .9999 Purity – The Silver Maple Leaf boasts a .9999 fine silver purity. While some investors prefer the four-nines purity, the extra nine does not add any extra value in today’s market.
  • Design and Recognition – The 2024 issue carries the King Charles’ profile on the obverse, while the iconic sugar maple leaf design is featured on the reverse. This classic reverse design has been minted annually since 1988 and is recognized and respected worldwide, ensuring the coin’s liquidity and marketability.
  • Anti-Counterfeiting and Security Measures – The Royal Canadian Mint began incorporating advanced security measures into the design of the coins in 2014, providing visual ways for investors to distinguish between fake and genuine coins.

The Maple Leaf coins were in stock on Costco’s website for a few hours recently at the price of $609.99. That puts each coin in a tube of 25 at around 24.40, with the spot price of silver that day closing at $22.08 per ounce. Typical dealer premiums are slightly higher at around $2.50 per coin.

Costco Product Page: Item #1814000

Canadian Maple Leaf 1 oz Gold Coins

The Maple Leaf 1 oz Gold Coin is the flagship bullion investment coin from the Royal Canadian Mint. It has been a mainstay with global investors since 1979. Its .9999 fine gold content makes it one of the purest investment grade gold coins available, which can be important for some investors.

Costco’s first offering of Maple Leaf gold coins including the Queen Elizabeth Memorial obverse design from last year.

A few weeks ago, the current year issue featuring the official portrait of King Charles was made available at the price of $2,219. On the same day gold spot price closed at $2,161.71 per ounce, a premium of $57.29, which is slightly higher than the lowest available price from national bullion dealers. The average premium for the Costco sale had some investors buying, with availability lasting around 17 hours.

Although the 1 oz coin is the standard, the Maple Leaf series is available in various sizes (1 gram, 1/20 oz, 1/10 oz, 1/4 oz, 1/2 oz, and 1 oz) from a variety of trusted and reputable online bullion dealers, offering flexibility for different investment budgets and strategies.

2024 1 oz Canada Maple Leaf Gold Coin (King Charles Design)

Costco Product Page: Item #1814006

PAMP Suisse

PAMP Suisse is a private mint based in Ticino, Switzerland. Established in 1977, the company has grown to become a leader in the precious metals industry with an outstanding reputation for producing gold bars of the highest quality. Each newly minted gold bar is produced to the industry standard of .9999 fineness and is accompanied by an assay certificate that guarantees its purity and weight.

PAMP Lady Fortuna Series

The Lady Fortuna series is one of the most iconic and recognizable in the gold market. Combined with PAMP Suisse’s industry leading Veriscan technology that captures the unique topographical characteristics of each gold bar. A mobile app is available that allows investors to instantly verify if a bar is authentic by uploading a series of images which are compared to those stored in Veriscan database. This anti-counterfeiting measure helps assure investors that they are buying genuine investment-grade gold bars.

PAMP 100 gram Lady Fortuna Gold Bar

Costco Product Page: Item #1801206

PAMP 50 gram Gold Bar

Costco Product Page: Item #1782174

PAMP 1 oz Lady Fortuna Gold Bar

Costco Product Page: Item #1748080

PAMP 20 gram Lady Fortuna Gold Bar

Costco Product Page: Item #1782171

Multigram+25 Gold Bars

PAMP Multigram+25 1 gram Gold Bars

Costco Product Page: Item #1811661

PAMP Rosa Series

The most distinctive feature of the Rosa series is the intricate rose design engraved on the bar’s obverse side. This design features a single rose stem with detailed petals and leaves, representing love, beauty, and elegance. The design’s sophistication and artistry make these bars stand out in the gold bullion market.

PAMP 100 Gram Rosa Gold Bar

Costco Product Page: Item #1782169

PAMP 50 gram Rosa Gold Bar

Costco Product Page:

PAMP Rosa 1 oz Gold Bar

Costco Product Page: Item #1782167

PAMP Lunar Legends Series

Like other PAMP Suisse products, the Lunar series bars are available in high purity .9999 fine gold. The designs are renowned for their intricate detailing and artistic quality. To celebrate the Year of the Dragon, PAMP Each bar features an image of the zodiac animal for that year, often depicted in a style that combines traditional and modern artistic elements.

The Azure Dragon is part of the Four Symbols and is considered important for creating balance and harmony in the environment. It is often paired with the White Tiger on the opposite side to balance yin and yang energies.

Each bar comes packaged in a tamper-evident assay card with an individual serial number and a certificate of authenticity.

PAMP Lunar Legends Azure Dragon 1 oz Gold Bar

Costco Product Page: Item #1778080

RAND Refinery

Established in 1920, The RAND Refinery plays a central role in processing gold from the renowned South African gold mines. With over a century in operation, the RAND Refinery has established a strong reputation for reliability and quality in the global precious metals market which contributes to its trusted status among investors and collectors.

Depending on the market conditions, gold bars from the RAND Refinery can be cheaper and may be more cost-effective with a lower price per ounce compared to those from other refineries. RAND Refinery’s gold bars are a highly liquid investment that is recognized and accepted worldwide.

RAND 1 oz Gold Bar

Costco Product Page: Item #1768080

RAND 100 Gram Gold Bar

Costco Product Page: Item #1796444

Costco’s expansion into the precious metals market by adding more coins and bars to its lineup demonstrates the company’s response to increased consumer demand for tangible investments as a store of value and wealth. This expansion not only broadens the investment options for Costco members but also signifies the growing trend of retail investment in precious metals.

Moreover, Costco’s foray into precious metals is complemented by its robust online platform and in-store services, ensuring secure and convenient purchases. With this expansion, Costco aims to solidify its position in the precious metals market, among industry veterans like APMEX, JM Bullion, Bullion Exchanges and SD Bullion, offering an accessible path for its members to invest in physical gold, silver, platinum, and palladium.

Precious metals coins are government backed with a guarantee for their purity and weight. They are purposely minted as a long term store of value and wealth that have historically been an effective hedge against inflation and currency devaluation.

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JM Bullion acquires Gold.com Domain Name

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In a press release last week, A-Mark and JM Bullion announced the acquisition of the website domain Gold.com. No terms were disclosed. Following this acquisition, JM Bullion now owns both silver.com and gold.com.

“The acquisition of the gold.com domain represents a significant investment in our direct-to-consumer growth strategy,” said JMB CEO Robert Pacelli. “The gold.com domain carries broad global appeal and is an extremely versatile asset that will be incorporated into our long term strategy. Prominent, single word domains are in high demand due to their scarcity, and benefits of such domains include instant brand recognition and enhanced marketability.”  

Pacelli continued, “It’s rare to have an opportunity to acquire a category defining asset such as this, and we are excited to add the domain to our expanding portfolio. All gold.com traffic is currently being redirected to the JMB website, providing visitors with seamless access to the company’s extensive range of products and services.”

JM Bullion was founded in 2011 and has grown to become one of the largest online precious metals dealers in the United States.

At the time of its founding, the spot price of silver was around $37 an ounce, while the spot price of gold was trading near $1,755 an ounce.

As JM Bullion’s sales and customer base began to skyrocket, they began acquiring other bullion dealers. The first notable acquisition came in 2019 when the company bought Provident Metals.

By 2020, JM Bullion marked a significant milestone, selling more than $1 billion dollars worth of precious metals to investors that year.

The following year, in March of 2021, JM Bullion was acquired by the industry wholesale powerhouse, A-Mark.

Following the sale to A-Mark, JM Bullion continued their acquisition spree, buying up other notable dealers including BGASC, BullionMax, Pinehurst Coin Exchanges and others, as well as buying significant portions of other vertical businesses such as Silvertowne, Sunshine Minting, Pinehurst Coins and others.

Since 2018, A-Mark has grown through the acquisition of other companies to establish itself as a leader across the entire precious metals vertical, from sourcing and refining capabilities, to direct-to-consumer retail operations, as well as wholesale investment platforms.

A partial list of acquisitions by A-Mark/JM Bullion includes:

  • Silvertowne Mint – Silvertowne was established as a local coin shop in Winchester, Indiana in 1973. In the 1980s, Silvertown expanded into minting and selling their own brand of silver bars and rounds. A-Mark acquired a majority stake in Silvertowne in 2016.
  • Goldline, LLC – Goldline was a full-service precious metals trading company and an official distributor for all the major sovereign mints. The acquisition in 2017 bolstered A-Marks ability to reach investors directly by adding an expansive direct-to-client distribution model.
  • Collateral Finance Corporation (CFC) – Collateral Finance Corporation provided a secured lending facility to consumers and institutions wishing the leverage their gold holdings as a tangible asset.
  • Sunshine Minting – Sunshine Minting was established in 1979. The company is a leading domestic and global supplier of precious metal mint products with manufacturing facilities in Nevada, Idaho, as well as a joint venture in Shanghai, China. Sunshine Minting’s primary customers include sovereign governments and major financial institutions. SMI is a notable supplier of blank planchets to the US Mint, which are utilized in the manufacturing of American Eagle Silver Coins.
  • Pinehurst Coin Exchange – As a leading precious metals broker, Pinehurst established a reputation in the coin industry for best-in-class service and offering a vast array of numismatics and precious metal products. They are a notable seller of gold and silver through the eBay marketplace.
  • Atkinsons Bullion & Coin – A-Mark purchased a 25% equity stake in UK based Atkinson’s in May 2023.
  • BGASC – Long time California based gold and silver dealer, BGASC was acquired in September 2022.
  • Silver.com – Back in their early days, JM Bullion acquired the domain of silver.com for $875,000 back at the end of 2012. It has operated as a standalone website since, with pricing that is often higher than other dealers in the portfolio.
  • Texas Precious Metals – At the start of 2023, A-Mark announced an acquisition of a 12% ownership stake in Texas Precious Metals in exchange for $5.04 million in cash.
  • Silver Gold Bull – Based in Calgary, Alberta, Canada, Silver Gold Bull has a large international retail presence in dozens of countries around the world. A-Mark upped their ownership stake to 47.4% in 2022 consisting of a considerable amount of cash and common stock. As part of the deal, A-Mark has the option to acquire up to 75% of the equity in the company pending a review based on Canadian Competition Laws.
  • CyberMetals – In November 2021, A-Mark and JM Bullion announced the creation of the CyberMetals Platform. The platform allows investors to buy and hold digital gold and silver in non-allocated storage with the option of converting their digital holdings into physical metals and taking fulfillment.
  • BullionMax – Fully acquired in 2023. The full terms of the deal were not disclosed, but the acquisition included BullionMax’s 20,000 customers and 100,000 newsletter subscribers.
  • LPM Precious Metals – LPM is a precious metals retailer and wholesaler based in Hong Kong. The LPM.hk acquisition is part of a strategic expansion by A-Mark into Asian markets.
  • ModernCoinMart – Included in the LPM acquisition, subsidiary Pinehurst Coin Exchange will acquire all assets of Modern Coin Mart, including the inventory.
  • Stack’s Bower Numismatics LLC – Stack’s Bower Galleries is a well-known auction house that specializes in numismatics and other collectibles.

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Costco Adds More Coins & Bars to Precious Metals Lineup

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The membership warehouse club Costco, best known for their $1.50 hotdog and soda combo, began offering precious metals last year through their website and available for sale inside some select locations.

The initial product lineup include a variety of 1 oz Gold Bars from PAMP Suisse and RAND Refinery. After initial success, they began offering American Silver Eagles in tubes of 20 coins, which certainly increased awareness and interest.

Costco’s expansion into the precious metals market by adding more coins and bars to its lineup demonstrates an increase in consumer demand for tangible investment assets. This expansion not only broadens the investment options for Costco members but also signifies the growing trend of retail investment in precious metals.

Costco is well-known for its competitive prices and customer-friendly policies and services, both of which contribute to its strong reputation and popularity among consumers. The way that the retailer is able to leverage its membership model to offer competitive pricing on precious metals, potentially undercutting traditional coin dealers or precious metals retailers. With some analysts suggesting this move by Costco reflects broader trends in the retail and investment sectors, indicating a mainstream acceptance and interest in precious metals investment.

2024 Canada 1 oz Gold Maple Leaf in Assay Card from the Royal Canadian Mint

2024 Canada 1 oz Gold Maple Leaf

The 1 oz Maple Leaf is the flagship investment-grade gold bullion coin from the Royal Canadian Mint, the official government mint of Canada.

The Gold Maple Leaf is minted with gold that is refined to a purity level of .9999 millesimal fineness (24 carats). Additionally, the Maple Leaf series includes advanced anti-counterfeiting enhancements into the coin’s design, such as radial lines and micro-engraved laser etchings.

When compared with other investment-grade coins, the premiums for Maple Leaf gold coins are extremely competitive.

Costco is known for keeping product markups low, which helps keep prices competitive and attractive to shoppers. While these coins are only available from Costco during certain times with limited quantities, dealer premiums for 1 oz Gold Maple Leaf coins range from as low as 2% to as high as 8%, depending on the seller.

2024 US 1 oz American Gold Eagle

2024 US 1 oz American Eagle Gold Coin from the US Mint

Following up on the success of the American Silver Eagles, Costco began periodically offering its gold counterpart. The 2024 1 oz American Gold Eagle is the flagship gold investment coin from the US Mint. Introduced in 1986, this coin has been a mainstay for investors for nearly 40 years.

The current obverse of the coin features a famous rendition of Lady Liberty that was originally featured on the St Gauden’s Gold coin.

The reverse of the Gold Eagle was redesigned in 2021 and features the head of a bald eagle in the center.

Around the head of the eagle, inscriptions are included for the United States of America and the notable latin phrase “E Pleribus Unum”, which translates to In God We Trust. Other inscriptions are included for the weight and $50 dollar face value.

While Costco is known for their low prices, they seem to time their offerings when the spot price of gold remains fairly stable. There have been reports on social media where Costco has increased the price of an item during the sales period. When Costco does have a gold or silver offer live on their website, the quantity available remains unknown to buyers. Though on average, the flash sales seem to average between 4 and 6 hours.

The 2024 1 oz Gold Eagle is a standard bullion issue investment coin and are readily available from most online bullion dealers and local coin shops. Premiums from local coin shops can vary greatly, while online premiums are as low as 3.5% to as high as 9% over the spot price of gold.

PAMP Suisse Gold Bars

PAMP Suisse Multigram-25 1 gram gold bars

The PAMP Suisse Lady Fortuna 1 oz gold bars was one of the initial precious metals offerings from Costco. The Lady Fortuna design is one of the most widely recognized gold bar in the world.

Lady Fortuna is the Roman goddess of luck, chance, and fortune, both good and bad. The age-old saying “Luck is blind” could probably be attributed to the story of Fortuna. She is shown blindfolded and holding a cornucopia spilling over with wealth and riches and a wheel of fortune.

PAMP Suisse has been using the design of their premier line of gold bars since the 1980s. Recently, Costco began offering other sizes of PAMP Suisse Gold Bars that include larger sizes, like the 50 gram gold bar, and even fractional 1 gram gold bars.

The PAMP Suisse 1 gram gold bars that are sold by Costco are part of the PAMP Multigram+25 set. The set includes 25 individual 1 gram gold that are each encased in their own mini assay card. The larger assay card is perforated to allow for easy divisibility should you need to gift, trade or sell a portion.

The obverse of each of the bars feature the same beautiful Lady Fortuna design as the larger bars. While the reverse each bar is emblazoned with the PAMP Suisse logo at the top. It also displays each bar’s weight, purity, and serial number.

Costco does not have a precious metals buyback program and their sale comes with special terms and conditions that explicitly state that all sales are final and not returnable.

Some local coin shops may carry some of the PAMP Suisse products, while the Multigram line of products from PAMP often has variable availability amongst online dealers. Premiums for fractional gold bars are generally higher due to the increase in manufacturing costs, with ranges from online dealers ranging from as low as 16% to as high as 30%.

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Visualizing the Commercial Real Estate Crisis

FindBullionPrices.com

In his testimony before the Senate Banking Committee, Federal Reserve Chairman Jerome Powell told Senators that there will be bank failures resulting from the commercial real estate crisis.

Recently, the folks at Visual Capitalist brought to life a report published by UBS Bank in February 2024 that shows a breakdown that shows which of the country’s banks have the greatest exposure in the commercial real estate sector.

It should be no surprise that the nation’s largest bank, JP Morgan Chase, sits at the top of the list with over $171 billion in commercial real estate loans, roughly 12.6% of their total loans and leases.

New York Community Bank (NYCB), the most recent bank to fail, reportedly held 57% commercial real estate loans.

There are some mid-size banks that are holding a significant share of commercial mortgages, which may be the ones Powell was referring to in his testimony to Congress.

In recent years, Well Fargo has paid more than $3.7 billion in fines in recent years for illegally creating new accounts for customers and other violations. Wells Fargo is holding around 21% of their loan portfolio in CRE.