The Proof Sets from 1950 to 1964 and “The Loss of Innocence” Part 2

1957 – 1,247,952 sets issued

In prior years the number of Proof sets that the mint sold had been limited “to capacity.” This led the mint to reject some orders, and those who received their sets were assured of making a profit. In 1957 the mint filled all orders, and the mintage blossomed to more than 1 million sets for the first time. The added supply depressed prices, and when the Prudential Insurance Company dumped 100,000 sets on the market, the price fell to $1.80. The buy prices did recover to levels higher than the issue price, but today the 1957 Proof set is still the least expensive set from the 1950s.



1958 – 875,662 sets issued

After the 1957 fiasco investors and collectors ordered fewer sets in 1958. The result was higher prices, both at the time the mint issued the sets and in subsequent years. A mild economic recession that occurred in 1958 may also have dampened Proof set sales.



1959 – 1,149,291 sets issued

Nineteen fifty-nine marked the introduction of the Lincoln Memorial reverse cent. The new cent reverse marked the first design change in U.S. coinage since introduction of the Franklin half dollar in 1948. This new coin captured my attention. As a fifth grader in the spring of 1959, I hoarded every one of the new cents that I found in change. That Christmas, one of my uncles gave me the 13th Edition of the Red Book and the two Whitman Lincoln cent folders. My adventures as a coin collector began.





1960 Small Date Proof Set

1960 – 1,691,602 sets issued

In 1960 the biggest numismatic headline concerned the size of the date on the Lincoln cent. The cents that were issued in January had a date that was markedly smaller than the later issues. Sharp eyed numismatists latched on to this difference. Soon they discovered that the Philadelphia mint small date cent was scarcer than the Denver version. They also discovered the Proof small date cent was much scarcer than the large date Proof cent. It has been estimated that 100 to 125 thousand of the almost 1.7 million 1960 Proof sets contain the small date coin.

The small date Proof set quickly became an “investment” sensation. By 1965, which was a boom year for numismatics, the retail price for the 1960 small date cent had reached $50. After that the price went into a permanent decline. The 1960 Small Date cent in Proof is listed at $22.00 in the 2020 Red Book.



1961 Proof Set



1962 Proof Set



1963 Proof Set

1961 – 3,028,244 sets, 1962 – 3,218,019 sets, 1963 – 3,075,645 sets

I have lumped these three Proof set together because there is really nothing special about them except that they provide a numismatic keepsake for each of those years. Prices for these sets have generally languished and have been affected by the price of silver bullion from time to time. The sets are always available, and for most dealers are generally slow sellers. The 1963 set has commanded a small price premium because it contained the last Franklin half dollar and was the year before the introduction of the Kennedy half dollar.

John F. Kennedy was President of the United States during this period, and many Americans who were alive at this time still have fond memories of “Camelot.” Many of those memories have been polished to a brighter luster over time. John Kennedy and First Lady Jacqueline, brought a sense of style and elegance to the Whitehouse which had seemed to be missing for many years. The bad things, like the Cuban Missile Crisis, the Berlin Wall and the initial commitments to the Vietnam War have receded into the background for many Americans of baby boom generation.





Image courtesy PCGS "Coin Facts"

1964 – 3,950,762 sets issued


The tragic assassination of John F. Kennedy prompted Congress and the President to cut short the run of the Franklin half dollar to just 16 years. The new Kennedy coin was immensely popular, and it seemed that nearly every citizen had to have at least one.

Proof set sales hit an all time high with almost 4 million sets sold. Non-collectors bought many of these sets, and some of them went so far as to remove the half dollar from the flat pack and spend the remaining coins. The head of the coin department at the Gimbels Department store in Philadelphia told me that he was finding 1964 Proof coins in his cash register. Retail prices for the 1964 Proof set reached $35, and dealers had to scramble to find sets to fill their orders. Like many such heated markets for modern coins, the prices fell considerably after the initial rush ended.

There were two notable varieties in the 1964 Proof set. The first to receive attention was the 1964 pointed tail dime. This variety was caused by the die preparation procedures, and interest in it has since declined.

Today collectors are far more interested the JFK half dollar “accented hair” variety. A second variety of the JFK half dollar resulted when Mrs. Jacqueline Kennedy commented that treatment of her late husband’s hair did not seem quite right. Chief Mint Engraver, Frank Gasparro, made the adjustments, but perhaps 100,000 Proof Kennedy half dollars had the original artwork. This variety has been gaining popularity in recent years, and an “Ultra Cameo” high grade Proof example of this coin can now sell for over $16,000 in the major auctions.

Continued, next message

 

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The aftermath

Midway through 1964 mint director, Eva Adams, announced that Proof set production would be suspended in 1965. The reason cited was that the mint was at full capacity given the coin shortage that was affecting the country. Another reason was that mint officials blamed coin collectors for much of the shortage. If collectors would only stop taking coins out of the circulation, they claimed, the problem would be solved. Much of the hoarding was due to the perception that the value of the silver in the dime, quarter and half dollar would soon exceed the face value of the coins. That perception would prove to be correct a few years later.



In 1965 the San Francisco mint issued Special Mint sets. The quality of the coins was better than the business strike pieces, but the coins were far below Proof quality. In addition, the price was raised from $2.10 to $4.00, and there was only one 40% silver coin in the set. The mint continued to issue Special Mint sets in 1966 and ’67. The 1966 and ’67 coins were close to Proof quality and were better than the 1965 sets had been.



Proof set production was restored in 1968 with each coin bearing the then esoteric S mint mark. The price was raised to $5.00 per set. For a brief while the market for 1868-S was very hot, and the price went up to $35 per set. Then the novelty wore off, and the market for this and other Proof sets from this era went into the doldrums permanently. Despite some temporary price blips, many Proof sets from the 1970s have sold for levels that were at or below their issue prices. Clearly the days of innocence were over.

 

Love the write up. Thank you.

Although I have them all in OGP, I have been tempted to create a custom set of the 65-67 SMS coins. You can find with cameo designations and they look really sharp.

 

Very informative. Thank you very much.

 

Where can I find part 1 of this write up ?

 

The last I knew it as on the second page of this U.S. coin section.

 

here you go
https://www.cointalk.com/threads/the-proof-sets-from-1950-to-1964-and-“the-loss-of-innocence-part-1.361317/

Great write up. When I was a kid (the 1990's) Proof set were a nice way to get some coins each year and a fun way to collect

 

For me, as a collector for more than 60 years, it still is. They are the only modern American coins that I buy these days. The rest of the stuff has gotten to be too much. You can't keep up with it.

 

You know...I have really enjoyed reading these couple posts that you have put together. Really well written and it's fun to hear the personal part of the story as it was from an era of collecting I was not alive to see.

The paragraph above is particularly interesting to me (I bolded the key part)...because of how backwards it is to my own experiences. I was born in 1985 and began collecting at around age 10. So, the "normal cents" to me were Memorial Backed Lincolns. I always thought the design was sterile and boring and I hoarded every wheat back I found in circulation. I remember how thrilled I was when I got my first 1950s BU red example...I thought it was beautiful. That Wheat Reverse as fresh as the day it was minted and I remember thinking how I wish they still made them that way. I remember thinking how much of a downgrade the Memorial Reverse felt to me.

You are the first person I have ever seen who spoke of the excitement around that change in 1959. It was really cool to read that because it was something I had never even considered.

 

One numismatic commentator compared the Lincoln Memorial reverse to a trolly car. The design as never been admired, and how could it be?

It takes skill to depict a building on a medal where you can have high relief and multiple blows from the dies to bring up the design. To make a building look good on a coin it takes genuine talent.

On a small coin like the cent, it’s fool’s errand, especially with the Lincoln Memorial. The building is impressive on the inside, but outside it’s like a box. It’s not like Monticello where you have porches and some angles that could make the structure more interesting Felix Schalg did with his first design for the Jefferson Nickel, which was not used.

The second factor during the early days when I was kid collector was that there was seldom anything that was new. The Franklin Half Dollar was introduced in 1948. The Lincoln Memorial Cent was introduced in 1959. We only get the Kennedy Half Dollar because of the assassination. The clad coinage of 1965 was new, but hardly something that made coin collectors happy.

Then there was the Eisenhower Dollar in 1973. Do you see how slowly the new coins used to come along? Now there is a new one every other month.

 

You make an excellent point...I was lucky to "grow up" in an era with a lot of new variety. I was still early in my collecting years when the state quarter series debuted. I was never a huge fan of it (even then)...but it did keep things interesting.

 

To be fair, it took months to develop a new design for a coin. Just reducing the large models to coin size on the John-v-a (sp) machine took three weeks to make, and if something went wrong, you had to start over. Today it’s done quickly with computers and lasers.

 

That makes total sense. Modern technology greatly hastens the process. I don't think putting the memorial on the back was a bad idea in itself...but you're right, it's an ugly building on the outside and the coin is so low relief they were setup to fail.

My only real point in my original response was I remember the amazing joy of finding a "wheat back penny" (yes, I know how wrong that quite is...it's not a back and it's not a penny) in circulation as a child. It was such a paradigm shift to think of being in awe of finding a memorial reverse among the wheaties.

 

Again, John, you’ve brought us another excelllent write up. Thank you!

 

Not really so different. For him the wheat cent was old familiar and boring. The Memorial was new and exciting. For you the Memorial was old familiar and boring. When you found the Wheat cent it was, to you, new and exciting.

 

The Kennedy Half Dollar was brought into production in record time, from early December to late January. It is interesting to note that the quarter and the half dollar were considered as platforms for the Kennedy design. Mrs. Kennedy thought that would be inappropriate for the late President to replace George Washington.

 

Always love learning about the early proof sets