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Commerzbank: Temporary U.S. Mint shutdown could mean supply shortage of gold coins

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The temporary shutdown of the U.S. Mint’s West Point facility in New York, announced late Wednesday, could result in a shortage of supply, especially for gold coins, said Commerzbank. The Mint said it took the action as a cautionary measure due to an increasing number of COVID-19 cases in Orange County. The site makes precious-metals coins that are sold through a network of distributors. Dealers are reporting that premiums for gold coins already exceed the spot price of gold by 5% to 10%, the bank pointed out. After a prolonged “dry spell,” March sales of 151,500 ounces of American Eagle gold coins the most since November 2016, Commerzbank said. Another 56,500 ounces have already been bought in April, according to the U.S. Mint website. “Silver coins appear to have been in even greater demand, and in some cases were even sold out,” Commerzbank said. “The figures show that just shy of 5.5 million ounces of silver coins were sold in March.”

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