Welcome back, GoldBuzzers!

We're living through one of the most consequential weeks for global markets in a generation. The U.S.-Israeli war on Iran is now into its sixth day, the Strait of Hormuz is effectively closed, and precious metals are caught in a tug-of-war between safe-haven buying and forced liquidation from other markets. I'll break down what it all means for gold and silver in today's update.

Then I've got something completely different for you - and honestly, it might be one of my favourite pieces I've published in GoldBuzz so far. It's the story of Ken Nelson, a reader from Alabama who turned a childhood obsession with his grandfather's coin collection into a $1.1 million gold portfolio. His timing instincts alone are worth the read.

 Ok, let’s dive in. 👇

Gold closed around $5,140 per ounce on Wednesday, holding relatively steady as the U.S.-Israeli war on Iran ground into its sixth day with no sign of a ceasefire. I say "relatively" because this market has been on a wild ride all week - gold briefly dipped below $5,000 on Tuesday before buyers piled back in, and that kind of $200+ intraday swing tells you everything about the mood right now.

Silver closed Monday trading above $83, also bouncing back after getting hammered earlier in the week when a surging dollar and spiking energy costs spooked traders. The real story, though, is in the physical market: Dubai's air cargo has essentially shut down since the war began, and given that the UAE handles roughly 20% of global gold flows, that's created a genuine supply squeeze across Asia.

Indian premiums have flipped from a $50 discount to London parity in just 48 hours. Meanwhile, Iran has declared the Strait of Hormuz closed, oil is through the roof, and the Treasury Secretary confirmed a global 15% tariff kicks in this week - all of which has pushed Fed rate cut expectations back to September at the earliest. The Senate voted down a war powers resolution yesterday, meaning this conflict isn't stopping anytime soon, and six American service members have already been killed.

If you're wondering why gold and silver aren't higher given all of this chaos, you're not alone - there's huge selling pressure from margin calls and a liquidity crunch in other markets dragging on prices. But physical demand is telling a very different story from the paper market, and while further consolidation is likely in the short-term, that disconnect is going to resolve itself in gold and silver's favour as this situation plays out.

Every now and then I get a story from a GoldBuzz reader that I just have to share. This is one of them.

Ken Nelson is a reader from Alabama who's been a gold bug for over 50 years. He also runs TAC Enterprises, a family-owned farm equipment business he built from an $800 start-up into a multimillion-dollar operation. The name stands for "Take A Chance" - and when you hear Ken's story, you'll realize that's less of a joke and more of a lifestyle.

His real love, though? Gold coins.

It Started With Syrup Buckets

Ken's grandfather used to store silver coins in old syrup buckets with a slot cut in the top. When young Ken visited, grandpa would dump a bucket on the kitchen table and let the boy pick through them. He was nine. That was all it took.

His parents couldn't get him to read - until they subscribed him to Numismatic News. After that, he devoured every issue front to back. His dad drove him to three different coin club meetings every month within a 30-mile radius. By high school, Ken was so good at buying, selling, and trading coins that grown men were bankrolling his trips to coin shows and conventions.

Marriage, kids, a new house - by the late '80s, most of his collection had been sold just to keep the family afloat. Plenty of readers will have experienced something like that.

The $10 Liberty Play

Ken found his way back to gold in 2000, when prices had cratered to around $250. He spent about $5,000 on certified $20 gold pieces on eBay - coins now worth around $5,000 each. A decade later, he turned his attention to the $10 Liberty series - the coins minted from 1839 to 1907 - picking them up at prices barely above their gold melt value.

He noticed he was accumulating different dates and mint marks, and figured he might as well try to collect as many as possible. A complete set is 185 coins. Some are seriously rare. Very few collectors have ever tried to build one. As Ken puts it, you'd have to be "dumb enough" to attempt it - especially if you weren't rich.

But he kept going. The bullion play gradually turned into a full-blown numismatic mission. After a couple of years he realized he already had over half the set, most bought near melt value. So about ten years ago, he went all in on completing it.

By 2025, Ken owned 182 out of 185. Some of those final coins cost five and even six figures.

The three he never landed? The 1863, the 1879-CC, and the big one - the 1875 Philadelphia. That coin holds the record as the lowest-production regular-issue U.S. gold coin ever minted. Only 100 were struck. Eight to twelve are known to exist today.

Ken had one shot at it - at auction. He was the backup bidder. Once the price crossed into six figures, he admits his nerves were "a little frazzled." He wishes he'd placed one more bid. But he trusted his gut and stopped. "My instincts have served me so well over the decades that I know to go with the first one and stop there."

Knowing When to Sell

Then gold started moving - fast. Ken did the math and realized his coins had appreciated roughly five times what he'd paid on average. He called a well-known friend in the coin business, who confirmed what Ken already suspected: it was time.

Not one to sit on the fence, Ken pulled the trigger. The collection sold for $1.1 million, netting him a profit of nearly $300,000.

Not bad for a hobby.

And He's Already Back In

This is the part I love. Ken isn't sitting on the sidelines. He's already buying pre-1933 gold again - because premiums over melt value are at their lowest levels he's seen in over 45 years of buying.

The logic is straightforward: you get the upside from rising gold prices plus the upside when numismatic premiums eventually revert to normal levels. Double appreciation. It worked once. He's running it back.

As a friend once told him: "In order to accumulate, one must speculate."

The Instinct That Saved His Portfolio

Ken's timing instincts go beyond coins. He holds around 26 mining stocks, built up over two years of poring over financials during late nights. His method: buy about $1,000 worth of a stock, watch how it moves with metal prices for a month or so, then either cut it loose or buy more based on feel. Out of 26 picks, only one went under - and he'd kept his exposure to $1,000.

But here's the one that'll make you sit up. On Monday, January 27th, for reasons he still can't fully explain, Ken stayed up late and set a 15% trailing stop loss on his entire portfolio. He'd never done that before in his life. Three days later, on January 30th, the market dropped hard. By the end of that day, Ken was sold out of all but three positions - with a total portfolio gain of 348% mostly locked in.

He's since bought back all his original miners and added a couple of new ones. As he puts it: "If the wheel ain't broke, don't try to fix it."

The GoldBuzz Takeaway

So what can we take from Ken's 50-year run?

Pre-1933 coins are a corner of the gold market most people ignore. Right now, with premiums at historic lows, you can buy real pieces of American history for barely more than their gold content. If gold keeps climbing and premiums normalize, you win twice.

You don't need to build a 185-coin set. But Ken's playbook - buy what's cheap, be patient, and actually sell when the numbers tell you to - is about as good a template as you'll find for building wealth in precious metals without being a Wall Street insider.

And sometimes it all starts with a nine-year-old kid and a bucket of coins on a kitchen table.

Thanks to Ken Nelson of TAC Enterprises in Alabama for sharing his story. When he's not chasing rare gold, Ken collects early Ford Broncos - he owns over 30 of them. But that's a whole other story!

I’d like to make these reader experiences an occasional feature in GoldBuzz, so if you’ve got a gold or silver story of your own, feel free to get in touch.

That’s all for this Thursday, folks. I’ll see you on Sunday.

Before you go, please take a moment to rate today’s newsletter and let us know how we did.

Rick Adams
Founder, GoldBuzz
rick@goldbuzz.com