[OT] why was private gold ownership made illegal in the US?

[Michael Motyka]

Tim May <tcmay at got.net> wrote :
>
>On Wednesday, July 3, 2002, at 08:50  AM, Michael Motyka wrote:
>> IIRC many of the wealthy were quick enough to ship huge amounts of gold
>> to Europe. That is one reason I have heard given that the St Gauden's
>> $20 gold pices of that era are possibly poor investments - there is a
>> reservoir of them overseas.
>
>But St. Gaudens coins were readily available during the time when gold 
>ownership was banned.
>
>(Let me be overly careful: They were purchasable from coin stores and 
>mail order places in the mid-1960s. I know because I used to see them 
>listed at a price I clearly remember: $49.50.)
>
>I assume they did not just suddenly become available at the time I 
>happened to be paying attention, and that they were purchasable in 1960, 
>1950, 1940, etc. The exemption for numismatic value, of course.
>
The opinion I am repeating ( not mine, but seems plausible ) is that the
supply of numismatic quality St. Gauden's may be such that the current
premiums are not justified.

>Owning coins for collector, or numismatic, value, is of course a 
>different kettle of fish than owning gold as bullion.
>
The premium over the bullion value is a very large component of the
price.

I've tried to learn a bit about coin collecting but I find myself
hesitant to plunge right into it. It's just like any other "investment",
subject to bubbles, busts and shady operators. I don't know enough to
feel comfortable with it.

Having watched bullion prices for a while it appears to have two major
factors : a bet on fear ( peaked during the India/Pakistan prick wagging
contest ) and against a strong dollar. Yet another trading option. 

>--Tim May

Mike