Penny searchers....Opinions>>>>?

[klava]

The follow is a report I borrorws forh the penny hoarding mb. Now there are a couple of arguments here. To mention a couple....1) We need to hoard as many pennies as pssible before these new(high amounts) of pennies hit the streets. 2) What will the drop in 6.6 million lbs of copper do to the price of copper? How much will it drop? I look forward to hearing your opinions:-)

-K

U.S. Mint to use more zinc, less copper and nickelReuters Friday February 8 2008 (adds information about Mint's coin production, paragraphs 3-6)
WASHINGTON, Feb 8 (Reuters) - The U.S. Mint plans to use less copper and nickel, but more zinc, as it ramps up penny production and cuts back on nickels, dimes, quarters and dollar coins, an agency spokeswoman said on Friday.
The Mint's zinc needs will increase by approximately 2.2 million pounds (1 million kg), while its copper use will decline by 6.6 million pounds (3 million kg) and its nickel use will fall by 660,000 pounds (300,000 kg) in the 2009 budget year, which begins this Oct. 1, the spokeswoman told Reuters.
The agency said its metal needs reflect a shift in its product mix of coins based on demand, not higher metal prices.
The Mint plans to make more pennies due to new commemorative designs of President Abraham Lincoln on the coin. The penny is made from 97.5 percent zinc and the rest is a copper coating.
There will be less production of nickels, dimes, quarters and dollar coins that are made from copper and nickel.
The Mint is expected to produce 15.377 billion coins in the 2009 budget year, down from 15.425 billion coins in the current spending year. (Reporting by Tom Doggett; Editing by David Gregorio)

http://www.guardian.co.uk/feedarticle?id=7294365

 

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[Immy]

The only thing I can think of is more pennies will be needed in anticipation of the 100th anniversary next year and the subsequent hoarding that's sure to ensue. Perhaps pre-1982 coppers are disappearing quicker than they thought. Who knows with the govt. LOL

As far as the penny/cent designation, after 30-some-odd years of collecting I've come to my own conclusion: either one is just fine! I'm thinking of starting a campaign to publically ridicule those pedantic few who insist on using just "cent." Give it up already!! Penny is so engrained in our vernacular that it's useless. It's like trying to get a sportscaster to say "defense" properly (it's de-FENSE, not DE-fense, you don't DE-fend your country, a lawyer doesn't DE-fend his client!!).

But I digress...

"Penny" is actually useful too. If I said I have "eight cents" in my pocket you wouldn't know if I meant eight "one cent" coins or a nickel and three "one cent" coins. But if I told you I had "eight pennies" you'd know exactly.

Yes, "penny" isn't used by the numismatic community. You won't find "penny" on a Lincoln slab. But it's a throwback term that harkens to simpler times when as a kid I'd ask my mother for a penny for the gumball machine. I never once asked for a "cent."

 

[klava]

To continue off on the tangent....

from dictionary.com

1. a bronze coin, the 100th part of the dollars of various nations, as Australia, Canada, New Zealand, and the United States; one cent.

Anyway. Based on the article above the one of the questions on the table is how this will effect the pre82 "pennies".

:-)

-K

 

[klava]

LOL I am hoarding on a small scale. For two reasons the copper value and the future value of said coins. I figure when the melt ban is lifted we will se so many coppers melted that the valuse to collectors will go higher and higher that is if copper prices continue to rise. I just think that if the mint cuts out copper that will have an impact on copper prices.

-K

 

[Immy]

I figure when the melt ban is lifted we will se so many coppers melted

Aha! By jove you've hit upon it klava!

This might be a hint that the govt is planning a lift on the melting ban, which will give way to copper hoarding and subsequent penny shortages, hence they have to make more.

Whaddya think?

 

[klava]

Both are valid points I would like to think there is a place for 6.6 million pounds of coppers. And I know that there is many different uses in all countries for copper.

If this info is in fact accurate I may really step up my hoarding even buy a Ryedale.

The increase in mintage would tell me that we are on our way to the melt ban being lifted. I need to research and see how many pounds of copper is used a year then i could see how much 6.6 million pounds actually is.

The thing I like most about investing in pre82's is its a no lose investment. Besides your time ofcourse. Your penny will be worth a penny no matter. Right now a pre82 is worth 2.2 cents in copper value alone. Thats a 120% increase on my investment atm. It could go up or it could go down. That is just somethign no one knows for sure. But I can tell you this there isnt a stock or mutual fund that can offer me those gains or 100% gurantee that I wont lose money.

So to me putting back a few dollars of coppers is a good idea. I have even found 14 wheates and they have been goign up in value(not to mention the merc i found in a roll lol). I can see every side or the argument to hoard or not to hoard to me it is an easy decision:-)

Im liking these ideas guys:-)

-K

 

[cmhoose]

I figure when the melt ban is lifted we will se so many coppers melted

Aha! By jove you've hit upon it klava!

This might be a hint that the govt is planning a lift on the melting ban, which will give way to copper hoarding and subsequent penny shortages, hence they have to make more.

Whaddya think?

Interesting topic Klava. I personally don't think the government is hinting at anything. Not yet anyway. The government is looking for ways to make money. Drumming up interest of upcoming US Mint releases has become the norm. Just like they did with the state quarter program. The state quarter program was great for the hobby of coin collecting. (and for the government purse for that matter) But everyone knows that it will take forever to see any true return on state quarters. I think they are just preparing for the young collector who will gobble up these new cents by the bag full in hopes of a large return in the future. I truly don't think the government would lift the melt ban without getting their share first. Keep your ears open for rumors of the government melting them, that is when you will know the ban will soon be lifted. I do think it will happen, just not anytime soon.

As for the saving of 6.6 million lbs. of copper, it shouldn't affect the price of copper much at all. We might see brief plateau of prices for a while, but not long. Copper usage in construction worldwide dwarfs the use of copper used in coinage. Copper is going to continue to go up, just like silver and gold.

Klava, I think you are on the right track with keeping coppers. Like you said, you can't lose money by doing it. (unless you get robbed) I recently have also started to put a few coppers back, just in case. The melt ban lift has to happen sometime. With silver starting to dry up, image how this forum (and our perspective of coin roll hunting)would change if the ban was lifted. I wish it would be soon.

HH
cmhoose

 

[Hydrantman]

On the subject of Cent v. Penny.... every single roll I have seen out of the Fed boxes say PENNIES, the rolling papers at WalMart say PENNIES, the box the fed rolls came in say PENNIES... I'm starting to see a conclusion as to what they are called in the country.

 

[cmhoose]

It is true, everything points towards "penny." I am not going to give in, though, because I'm an American and won't be Anglicized. LOL, I'm stubborn IOW.

Everything except the words "ONE CENT" on the back of the coin.

Just my two cents - I mean two pennies.

HH
cmhoose

 

[killerwine]

Now that I have my Ryedale there won't be many pre-1982's left in circulation for long!