Printing More Money vs. High Card Prices

[MooseDog]

Short answer to Leon... not directly. However the easy money is somewhat related as I do believe that the stock market is more likely tied to the rise in card prices. There are an awful lot of people in the US that make far, far more money and have far greater assets than they or their families will EVER be able to spend. Nobody NEEDS $1B, let alone hundreds of millions. At some point it's just a way to keep score and the whole concept of money as reality goes away.

Some with unlimited resources just want stuff and will outbid anyone else...well, because they can. And it only takes two to tango in an auction.

Imagine if Elon Musk and Jeff Bezos decided they wanted a certain high-end marquee card!

I also believe there is a certain level of "pump and dump" action going on.

My 2 cents.

FWIW I'm in the bottom 50% statistically, and got both stimulus payments of which 100% went to pay bills.

[iwantitiwinit]

Originally Posted by MooseDog

Short answer to Leon... not directly. However the easy money is somewhat related as I do believe that the stock market is more likely tied to the rise in card prices. There are an awful lot of people in the US that make far, far more money and have far greater assets than they or their families will EVER be able to spend. Nobody NEEDS $1B, let alone hundreds of millions. At some point it's just a way to keep score and the whole concept of money as reality goes away.



Some with unlimited resources just want stuff and will outbid anyone else...well, because they can. And it only takes two to tango in an auction.

Imagine if Elon Musk and Jeff Bezos decided they wanted a certain high-end marquee card!

I also believe there is a certain level of "pump and dump" action going on.

My 2 cents.

FWIW I'm in the bottom 50% statistically, and got both stimulus payments of which 100% went to pay bills.

In my opinion this is 100pct accurate. It's not individuals getting stimulus checks, it's the new super wealthy that have significantly increased in number as a result of crypto price surge, the proliferation of spac issuance that instantly enriches the sponsor, real estate strength, etc. They are buying immense quantities of hard assets from the extremely rare to the limited quantity luxury items. Stories of individuals buying a ferrari dealership out of their entire inventory, super yacht shortages, low if non existent waterfront properties in prime locations. This will result in hyper inflation and will filter down into what was previously thought of as things that were considered available though somewhat limited in quantity to those making a decent living but were not wealthy. Things as simple as say lobsters (dont laugh), or BMWs, relatively fine wine etc. It is all going to be bought up.

[packs]

I haven't seen a very good explanation for why a person with no previous interest in cards would suddenly decide they needed a 1953 Topps Satchel Paige.

I really don't see why there is a POV that the uninitiated are driving up prices. A 52 mantle, a T206 Wagner, sure, those kinds of cards will appeal to the same layman that Picasso does to people who don't collect art.

What drives a guy to buy a 1950 Bowman Jackie Robinson?

[Johnny630]

Originally Posted by packs

I haven't seen a very good explanation for why a person with no previous interest in cards would suddenly decide they needed a 1953 Topps Satchel Paige.

I really don't see why there is a POV that the uninitiated are driving up prices. A 52 mantle, a T206 Wagner, sure, those kinds of cards will appeal to the same layman that Picasso does to people who don't collect art.

What drives a guy to buy a 1950 Bowman Jackie Robinson?

One Word MONEY

[packs]

Originally Posted by Johnny630

One Word MONEY

But that's not realistic. How would some everyman be driven to buy esoteric collector cards without being a collector?

There are no newly initiated people driving up the prices for many issues that have spiked. It doesn't make sense that they would look anywhere else but prime time for something they know nothing about.

If I'm getting into art, I'm not asking to see someone's Lucien Freud collection. I might have heard of Andy Warhol though.

[Directly]

Cash is trash!!

[bbcard1]

So here's what I'm wondering. If stocks, real estate, cybercurrency, metals, art and baseball cards are all overpriced, isn't it probable that cash is overvalued? The reason I'm not ready to buy into the concept whole cloth. The reason for that is we are not seeing wholesale price increases in staples. People have been sitting around with nothing to do so buying cards has been a fair enough diversion. Those who have not been hurt by COVID-19 haven't been spending money on some of the things like travel and, to a lesser degree, cars and clothes that we normally would. It's a mystifying time. I would think stocks would be the first to adjust, but what do I know.

[TedWill1939]

IMO, I think the pandemic and a 40+ age group with monay to spend created a booming market. There are many factors to it but I think this is the foundation. I'm 45 and have a certain amount of comfort in my life that has allowed me to purchase cards I only dreamed of having during the card boom of the 80s. I'm sure there are tons of people in the same situation. The pandemic gave people the free time to explore and revisit old anew interests. I picked up skateboarding with my son after 20 yrs of not being on a board.

Enter the highrollers and speculators getting in on the frenzy and its anyones guess where this will go, a big inflated pissing contest that tanks or a lasting trend with stable highs and lows?

At this point I am thankful for what I have and defintely bummed that some cards I wanted are way way out of reach

[Fuddjcal]

Originally Posted by packs

I haven't seen a very good explanation for why a person with no previous interest in cards would suddenly decide they needed a 1953 Topps Satchel Paige.

I really don't see why there is a POV that the uninitiated are driving up prices. A 52 mantle, a T206 Wagner, sure, those kinds of cards will appeal to the same layman that Picasso does to people who don't collect art.

What drives a guy to buy a 1950 Bowman Jackie Robinson?

Because they "always liked Jackie" and they want to collect them all? Never a Bowman fan, but wanted this one in my collection. Not so much the trimmed leaf rookie or ugly 49.

I think many small business's, received gigantic PPP loans that you don't have to pay back. They were discharged pretty quickly and free $$$ to the wealthy, I hear.

[todeen]

Originally Posted by Fuddjcal

Because they "always liked Jackie" and they want to collect them all? Never a Bowman fan, but wanted this one in my collection. Not so much the trimmed leaf rookie or ugly 49.

I think many small business's, received gigantic PPP loans that you don't have to pay back. They were discharged pretty quickly and free $$$ to the wealthy, I hear.

I agree, Jackie Robinson has transcended the hobby. Someone wants an early card of Jackie, can't afford his late 40s cards, but can afford the 50 Bowman.

However, I understand what you meant, I just think you chose the wrong name. Maybe you meant Warren Spahn, or Gaylord Perry, or Bob Feller......

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[sportscardpete]

$600 Stimulus checks are not causing Jordan rookies to go from $20,000 to $700,000.

[packs]

I can only speak for myself but the two checks I got didn’t cover one months rent combined.

[bdk1976]

Originally Posted by sportscardpete

$600 Stimulus checks are not causing Jordan rookies to go from $20,000 to $700,000.

Then what do you think is? It certainly isn't due to Jordan putting up 50 against the Knicks last night.

The rich have cash to burn so they are parking it in collectables - other hobbies - such as muscle car prices - have went insane during this time period as well. The poor are spending the cash as soon as they get it on necessities - but guess who own/sells the necessities? The rich guys!

Personally I suspect there may be tax 'benefits' to holding something small and easily/anonymously exchanged as sports cards in some of these situations as well.

[rats60]

Originally Posted by iwantitiwinit

In my opinion this is 100pct accurate. It's not individuals getting stimulus checks, it's the new super wealthy that have significantly increased in number as a result of crypto price surge, the proliferation of spac issuance that instantly enriches the sponsor, real estate strength, etc. They are buying immense quantities of hard assets from the extremely rare to the limited quantity luxury items. Stories of individuals buying a ferrari dealership out of their entire inventory, super yacht shortages, low if non existent waterfront properties in prime locations. This will result in hyper inflation and will filter down into what was previously thought of as things that were considered available though somewhat limited in quantity to those making a decent living but were not wealthy. Things as simple as say lobsters (dont laugh), or BMWs, relatively fine wine etc. It is all going to be bought up.

Why can't it be both?