The item represents a specific United States silver coin minted in 1887 at the New Orleans Mint, indicated by the “O” mint mark. These coins contain approximately 0.7734 troy ounces of silver and were a product of the Bland-Allison Act, intended to remonetize silver. This particular coin’s value is influenced by its condition (graded on a scale), rarity (affected by mintage numbers and survival rates), and silver bullion price.
Owning such a coin offers several potential benefits. It can be a tangible store of value, particularly during times of economic uncertainty. It provides a direct connection to American history, representing a specific period of economic and political policy. Its value can appreciate over time, depending on market factors, making it a potentially profitable investment vehicle for collectors and investors. Furthermore, its intrinsic silver content provides a base level of value regardless of numismatic interest.
Understanding the historical production, market valuation, and grading intricacies are essential for anyone interested in collecting or investing in such United States coinage. The following sections will delve into further aspects of these silver coins, providing more detailed information about their grading, value drivers, and historical significance.
1. New Orleans Mint and the 1887-O Morgan Silver Dollar
The New Orleans Mint played a crucial role in the production of Morgan Silver Dollars, including those minted in 1887. Its historical operations and the characteristics imparted on coins produced there significantly influence the collectibility and valuation of these specific dollars.
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Mint Mark Significance
The “O” mint mark on an 1887 Morgan Dollar indicates its origin at the New Orleans Mint. This identifier is fundamental in distinguishing it from coins produced at other mints, such as Philadelphia (no mint mark), Carson City (“CC”), or San Francisco (“S”). The presence of the “O” immediately establishes a key characteristic for collectors and historians.
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Production Quality and Characteristics
Coins from the New Orleans Mint are often noted for variations in strike quality and luster compared to those from other mints. These differences, while subtle, are observable to experienced numismatists. They can result from variations in die preparation or minting processes specific to the New Orleans facility, influencing the coin’s overall appeal and grading assessment.
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Mintage Figures and Rarity
The New Orleans Mint’s mintage figures for 1887-O Morgan Dollars significantly impact their scarcity. Certain years and mints had much lower production numbers than others, leading to higher values. Knowing the specific mintage of the 1887-O helps determine its relative rarity and potential value in the numismatic market. High mintage can indicate lower premium, while low mintage often elevates value significantly.
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Historical Context and Economic Impact
The New Orleans Mint’s operations reflect the broader economic landscape of the late 19th century, particularly in the Southern United States. The mint’s activities were directly tied to the silver market and the Bland-Allison Act, which mandated the purchase and coinage of silver. The 1887-O Morgan Dollar, therefore, is not merely a coin but a physical manifestation of these historical policies and economic conditions.
In summary, the New Orleans Mint’s role in producing the 1887-O Morgan Silver Dollar is central to its identity and value. The mint mark, production characteristics, mintage figures, and the coin’s historical context are all intricately linked to the New Orleans facility, shaping its significance within the broader realm of American numismatics.
2. Silver Content (.7734 oz)
The specified silver content of .7734 troy ounces is an integral characteristic of the 1887-O Morgan Silver Dollar, dictating its intrinsic value and influencing its market price. This standardized silver weight was a key component of the coin’s design and purpose during its period of circulation.
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Intrinsic Value Foundation
The .7734 troy ounces of silver provide a base value for the 1887-O Morgan Silver Dollar, irrespective of its condition or numismatic appeal. This inherent silver weight acts as a floor for the coin’s valuation, fluctuating directly with prevailing silver spot prices. During periods of economic uncertainty or high silver demand, this intrinsic value can become a primary driver of the coin’s market price.
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Historical Regulatory Compliance
The silver content was mandated by the Bland-Allison Act of 1878, which required the U.S. government to purchase and coin a specific quantity of silver each month. The 1887-O Morgan Silver Dollar, therefore, represents a direct manifestation of this legislative requirement. The standardized .7734 troy ounces of silver ensured compliance with the act and maintained a consistent silver-to-coin ratio across all Morgan Silver Dollars.
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Influence on Melt Value
The .7734 troy ounces of silver determine the coin’s melt value, which represents the raw worth of the silver if the coin were to be melted down. While melting historically significant coins is generally discouraged, the melt value serves as a baseline for collectors and investors, particularly during times when the silver price is high. This value is calculated by multiplying the current silver spot price by the silver content.
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Impact on Collectibility
Although condition and rarity are primary factors in determining the numismatic value of an 1887-O Morgan Silver Dollar, the silver content influences its overall appeal. Coins with higher silver content, even if circulated, may be considered more desirable than base metal coins, particularly by collectors seeking a tangible store of value. This intrinsic silver content contributes to the coin’s long-term investment potential and desirability.
The precise silver content of .7734 troy ounces is thus fundamental to understanding the 1887-O Morgan Silver Dollar’s value and historical context. It provides a tangible link to the silver market, the legislative mandates of the time, and the coin’s enduring appeal to collectors and investors alike.
3. Bland-Allison Act
The 1887-O Morgan Silver Dollar exists directly as a result of the Bland-Allison Act of 1878. This Act mandated the U.S. Treasury to purchase a specific amount of silver each month and coin it into silver dollars. Without this legislation, the Morgan Silver Dollar, including those minted in 1887 at the New Orleans Mint, would not have been produced. The Act served as a compromise between proponents of bimetallism (using both silver and gold as currency) and those favoring a gold standard. The 1887-O coin, therefore, embodies the economic and political debates surrounding monetary policy of the late 19th century.
The Bland-Allison Acts effect on the 1887-O Morgan Silver Dollar extends beyond its creation. The Acts provisions influenced the mintage quantities at various mints, including New Orleans. The Treasurys obligation to purchase silver led to significant production of silver dollars, contributing to a surplus and, ultimately, to the Acts repeal in 1890. This historical context informs the coin’s value, rarity, and collectibility. Knowing that the 1887-O was a product of this specific legislative mandate enhances understanding of its place in American financial history.
In summary, the Bland-Allison Act is not merely background information for the 1887-O Morgan Silver Dollar; it is the foundational cause of its existence. The Act’s provisions shaped the coin’s production, historical context, and subsequent value. Understanding this relationship provides critical insight for collectors, investors, and historians interested in American coinage and monetary policy.
4. Condition (grading)
The condition of an 1887-O Morgan Silver Dollar is paramount in determining its numismatic value. Professional grading services assess a coin’s state of preservation, assigning a grade that significantly impacts its market price. The assigned grade reflects the degree of wear, surface preservation, strike quality, and overall eye appeal of the coin.
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Grading Scales and Standards
Established grading scales, such as the Sheldon scale, range from 1 (Poor) to 70 (Perfect Mint State). These scales are used by reputable grading services like PCGS (Professional Coin Grading Service) and NGC (Numismatic Guaranty Corporation) to objectively evaluate a coin’s condition. A coin graded as “MS-65” (Mint State Grade 65) represents a near-perfect example with only minor imperfections, while a coin graded as “AG-3” (About Good Grade 3) will exhibit significant wear but retain some details. These grades serve as a standardized language within the numismatic community.
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Impact of Wear and Surface Preservation
Wear from circulation, handling, and environmental factors such as oxidation directly affects a coin’s grade. High-grade examples of the 1887-O Morgan Silver Dollar exhibit sharp details, minimal surface abrasions, and original mint luster. Lower-grade examples show substantial wear, obscuring fine details and diminishing the original surface texture. The presence of scratches, cleaning marks, or environmental damage further degrades a coin’s condition and value.
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Strike Quality and Eye Appeal
Strike quality refers to the completeness and sharpness of the coin’s design elements. A well-struck 1887-O Morgan Silver Dollar will display crisp details in the hair, feathers, and lettering. Weak strikes, common in some New Orleans Mint productions, diminish the aesthetic appeal and lower the grade. Eye appeal encompasses the overall attractiveness of the coin, considering factors such as luster, color, and surface quality. A coin with exceptional eye appeal may command a premium, even within the same numerical grade.
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Authentication and Slabbed Coins
Professional grading services also authenticate coins, verifying their genuineness and protecting them in tamper-evident holders known as “slabs.” Slabbed coins provide assurance to buyers regarding the coin’s grade and authenticity. The encasement protects the coin from further damage. The grading fees are offset by the improved liquidity and potential premium earned on certified coins.
The assigned grade from a reputable service is crucial for determining the market value of an 1887-O Morgan Silver Dollar. Coins in higher grades are scarcer and more desirable, commanding significantly higher prices than those in lower grades. Understanding the grading process and its impact is essential for both collectors and investors.
5. Mintage quantity
The mintage quantity of the 1887-O Morgan Silver Dollar, representing the total number of coins struck at the New Orleans Mint in that year, is a primary determinant of its scarcity and subsequent value in the numismatic market. Understanding the specific mintage figure provides a baseline for assessing its rarity compared to other Morgan Silver Dollars.
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Scarcity and Relative Availability
The 1887-O Morgan Silver Dollar had a relatively high mintage of 11,650,000 coins. Compared to other Morgan Dollars, particularly those from the Carson City Mint (“CC” mint mark), the 1887-O is generally considered more common. This higher mintage translates to greater availability for collectors and investors, impacting its base value in circulated grades. However, the availability of high-grade uncirculated examples remains a separate factor influencing value.
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Impact on Value Across Grades
While a high mintage typically suggests lower value, condition plays a significant role. An 1887-O in circulated grades (e.g., Good, Very Good, Fine) is relatively affordable due to its abundance. However, well-preserved, uncirculated examples (e.g., MS-63, MS-65 and higher) are scarcer and command significantly higher premiums. The survival rate of coins in pristine condition is lower, making high-grade 1887-O Morgans more challenging to acquire.
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Hoarding and Market Dynamics
The high mintage of the 1887-O led to substantial quantities being held in bank vaults and circulated widely. Many of these coins were later melted down when silver prices rose, reducing the overall surviving population. The number of coins available to collectors is dynamic, influenced by factors like hoarding, melting, and discoveries of previously unknown hoards. These market dynamics can affect the long-term value of the 1887-O Morgan Silver Dollar.
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Mint State Populations
Professional grading services, such as PCGS and NGC, track the number of coins they have graded at each level. Population reports provide insight into the relative scarcity of coins in different grades. While the 1887-O may have a large mintage, the population reports for high-grade examples reflect their rarity. These population reports are regularly consulted by collectors and investors to assess the scarcity and potential appreciation of specific coins.
The mintage quantity of the 1887-O Morgan Silver Dollar is a crucial factor to consider when evaluating its value and rarity. While its high mintage makes it relatively common in circulated grades, the scarcity of high-grade examples, combined with market dynamics, influences its overall collectibility and investment potential. Understanding these aspects allows for informed decisions when acquiring or trading these historical silver coins.
6. Numismatic Value
Numismatic value represents the worth of a coin to collectors, exceeding its intrinsic metal content. This value is determined by factors such as rarity, condition, historical significance, and aesthetic appeal. For the 1887-O Morgan Silver Dollar, numismatic value can far surpass the worth of its silver, making it a potentially valuable collectible.
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Rarity and Mint Mark Significance
The New Orleans (“O”) mint mark on the 1887 Morgan Silver Dollar is a primary determinant of its numismatic value. While the mintage was relatively high, the survival rate of coins in uncirculated condition is lower. Certain die varieties or errors associated with the New Orleans Mint during this period can further elevate the coin’s rarity and thus, its numismatic value. For instance, a doubled die obverse would significantly increase the coin’s collector appeal.
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Condition and Grading
The condition of the 1887-O Morgan Silver Dollar, as assessed by professional grading services (PCGS, NGC), profoundly impacts its numismatic value. A coin graded as MS-65 (Mint State 65) will be worth considerably more than one graded as VG-8 (Very Good 8). Grading reflects the coin’s preservation, strike quality, and surface blemishes. The higher the grade, the scarcer the coin is relative to the total mintage, resulting in a higher numismatic premium.
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Historical Context and Collector Demand
The historical context of the 1887-O Morgan Silver Dollar, linked to the Bland-Allison Act and the silver mining era, influences collector demand. Coins from specific periods of economic significance tend to be more sought after. Additionally, general interest in American history and coinage fuels the desire to own these coins, driving up their numismatic value. Marketing and promotion of the coin can also increase collector interest.
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Eye Appeal and Toning
The aesthetic appearance, or eye appeal, can significantly affect the numismatic value of an 1887-O Morgan Silver Dollar. Coins exhibiting attractive toning, particularly those displaying vibrant iridescent colors, often command higher prices. Natural toning is favored over artificial or harsh cleaning. The interplay of luster and toning enhances the coin’s visual appeal and, consequently, its market value among collectors.
The numismatic value of an 1887-O Morgan Silver Dollar is a multifaceted construct, influenced by rarity, condition, historical significance, and aesthetic appeal. Evaluating these factors requires expertise and knowledge of the numismatic market. The presence of certain key elements can transform a common silver coin into a highly prized collectible.
7. Historical Context
The historical context surrounding the 1887-O Morgan Silver Dollar is essential for understanding its significance and value beyond its silver content. This context encompasses the economic conditions, legislative actions, and social dynamics of the late 19th century United States. The coin serves as a tangible artifact reflecting this period.
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The Bland-Allison Act of 1878
This Act mandated the U.S. Treasury to purchase large quantities of silver and coin it into silver dollars. The 1887-O Morgan Silver Dollar is a direct product of this legislation. The Act aimed to appease silver mining interests and address concerns about the money supply. The coin, therefore, represents a compromise in monetary policy and the influence of powerful economic lobbies.
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The Silver Mining Boom
The discovery of vast silver deposits in the American West fueled the push for bimetallism (using both silver and gold as currency). The Bland-Allison Act was a response to the declining price of silver and the need to support the silver mining industry. The 1887-O coin, containing a significant amount of silver, symbolizes this era of resource extraction and its impact on the national economy.
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Economic and Monetary Policy Debates
The late 19th century was marked by intense debates over the role of silver in the monetary system. Proponents of bimetallism argued that it would increase the money supply and stimulate economic growth, while opponents favored the gold standard, fearing inflation and economic instability. The 1887-O Morgan Silver Dollar became a symbol of these competing ideologies, reflecting the complexities of monetary policy at the time.
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The New Orleans Mint
The New Orleans Mint, where the 1887-O coin was struck, played a significant role in the production of silver dollars. Its operations reflected the economic and political dynamics of the South during Reconstruction. The mint’s output contributed to the national money supply and facilitated trade in the region. The “O” mint mark on the coin serves as a reminder of this specific mint’s contribution to the national economy and its place in American history.
In essence, the 1887-O Morgan Silver Dollar is not simply a coin but a physical representation of late 19th-century American history. Its creation and circulation were influenced by legislative mandates, economic forces, and political debates. Understanding this historical context is vital for appreciating the coin’s true significance and value as a collectible and a historical artifact.
8. Investment potential
The 1887-O Morgan Silver Dollar, while a piece of American history, also presents potential opportunities for investment. Its value is influenced by a combination of factors, including its silver content, condition, and numismatic appeal. Evaluating these elements is crucial for assessing its investment viability.
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Silver Bullion Value
The inherent silver content of the 1887-O Morgan Silver Dollar (.7734 troy ounces) provides a baseline investment value. This intrinsic worth fluctuates with the spot price of silver, offering a hedge against economic uncertainties and inflation. Investing in these coins is, in part, an investment in a tangible commodity. However, it is essential to note that the price of silver can be volatile, impacting the coin’s value accordingly.
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Numismatic Appreciation
Beyond its silver content, the 1887-O Morgan Silver Dollar holds numismatic value for collectors. High-grade, uncirculated examples command significant premiums due to their scarcity and historical appeal. The value appreciation of these coins is driven by factors such as condition, mint mark rarity, and collector demand. Numismatic investment requires expertise in grading, authentication, and market trends. Coins graded by reputable services (PCGS, NGC) offer greater liquidity and assurance.
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Diversification Strategy
The 1887-O Morgan Silver Dollar can serve as a component of a diversified investment portfolio. Tangible assets like precious metals and collectibles can offer stability during periods of market volatility. Allocating a portion of investment capital to these coins can mitigate risk and potentially enhance long-term returns. However, it is crucial to understand the risks associated with collectibles, including market fluctuations and the potential for illiquidity.
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Long-Term Holding Perspective
The investment potential of the 1887-O Morgan Silver Dollar is generally realized over the long term. Short-term price fluctuations are common, influenced by silver market volatility and collector sentiment. Investors should adopt a patient approach, focusing on the coin’s intrinsic value, historical significance, and potential for future appreciation. The holding period can impact returns, as numismatic value tends to increase gradually over time.
Assessing the investment potential of an 1887-O Morgan Silver Dollar requires a comprehensive understanding of its silver content, numismatic appeal, and market dynamics. While these coins offer potential for both capital preservation and appreciation, investment decisions should be informed by research, expert consultation, and a realistic assessment of risk tolerance.
Frequently Asked Questions
The following questions address common inquiries regarding the 1887-O Morgan Silver Dollar, providing concise and factual information for collectors and investors.
Question 1: What is the significance of the “O” mint mark on an 1887 Morgan Silver Dollar?
The “O” signifies that the coin was minted at the New Orleans Mint. This identification is crucial as coins from different mints have varying values based on mintage figures and historical factors. The presence of the “O” distinguishes it from coins produced at Philadelphia (no mint mark), Carson City (“CC”), or San Francisco (“S”).
Question 2: What is the silver content of an 1887-O Morgan Silver Dollar?
The coin contains approximately 0.7734 troy ounces of silver. This silver content determines the coin’s intrinsic value, which fluctuates with the market price of silver. The amount of silver was mandated by the Bland-Allison Act.
Question 3: How does the Bland-Allison Act relate to the 1887-O Morgan Silver Dollar?
The Bland-Allison Act of 1878 required the U.S. Treasury to purchase and coin a specific amount of silver each month. The 1887-O Morgan Silver Dollar was a direct result of this legislation, intended to remonetize silver and support the silver mining industry.
Question 4: How is the condition of an 1887-O Morgan Silver Dollar graded and why is it important?
The condition is graded using a standardized scale, ranging from 1 (Poor) to 70 (Perfect Mint State). Professional grading services like PCGS and NGC assess the coin’s wear, surface preservation, and strike quality. The grade significantly impacts the coin’s numismatic value, as higher-grade examples are scarcer and more desirable.
Question 5: Does the mintage quantity of the 1887-O Morgan Silver Dollar affect its value?
Yes, the mintage quantity influences the coin’s scarcity and value. The 1887-O had a relatively high mintage, making it more common than some other Morgan Silver Dollars. However, the availability of high-grade uncirculated examples is lower, commanding a premium.
Question 6: What factors contribute to the numismatic value of an 1887-O Morgan Silver Dollar?
Numismatic value is determined by a combination of factors, including rarity, condition, historical significance, and eye appeal. These elements contribute to the coin’s worth beyond its intrinsic silver content, attracting collectors and investors willing to pay a premium.
In conclusion, the 1887-O Morgan Silver Dollar’s value is a multifaceted consideration, blending intrinsic silver content with numismatic appreciation. An informed evaluation of these factors is crucial for collectors and investors alike.
The next section will summarize the key aspects discussed in this article, providing a cohesive overview of the 1887-O Morgan Silver Dollar and its significance.
Tips for Navigating the 1887-O Morgan Silver Dollar Market
This section presents essential guidelines for collectors and investors interested in acquiring, evaluating, or selling 1887-O Morgan Silver Dollars. These tips emphasize informed decision-making and risk mitigation.
Tip 1: Prioritize Authentication. Due to its potential value, instances of counterfeiting exist. Always verify authenticity through reputable grading services or experienced numismatists prior to purchase. Examine the coin’s details carefully, comparing it to known genuine examples. Inconsistencies in design or metal composition may indicate a forgery.
Tip 2: Understand Grading Standards. Accurate grading is crucial. Familiarize yourself with the Sheldon grading scale and the standards used by PCGS and NGC. Subtle differences in grade can significantly affect value. If uncertain, seek professional grading to ensure an objective assessment of the coin’s condition.
Tip 3: Research Market Values. Track recent sales of 1887-O Morgan Silver Dollars in comparable grades. Reputable numismatic price guides and auction records provide valuable data for determining fair market value. Be wary of prices that deviate significantly from established market averages.
Tip 4: Consider Long-Term Trends. Numismatic values fluctuate, influenced by economic conditions and collector demand. Research historical price trends to identify potential investment opportunities and avoid short-term market volatility. A long-term holding perspective is often advisable.
Tip 5: Protect Your Investment. Proper storage is essential to preserve the coin’s condition. Store the 1887-O Morgan Silver Dollar in a protective holder, such as a slab or archival-quality sleeve, to prevent damage from handling, environmental exposure, and oxidation. Secure storage can maintain or enhance its value over time.
Tip 6: Document Your Acquisition. Maintain detailed records of each 1887-O Morgan Silver Dollar purchased, including date of acquisition, purchase price, grading information, and provenance (if available). This documentation supports insurance claims, facilitates future sales, and contributes to the coin’s historical record.
Tip 7: Be Aware of Market Sentiment. Collector enthusiasm and market sentiment can influence prices. Monitor numismatic publications, online forums, and auction results to gauge current demand and assess the overall market climate. Positive market sentiment can drive prices upward, while negative sentiment may lead to declines.
Applying these tips can mitigate risks and enhance the potential for successful acquisition, ownership, and eventual sale of 1887-O Morgan Silver Dollars. Careful research, professional guidance, and informed decision-making are paramount.
The following section will conclude this article, summarizing the key takeaways and providing a final perspective on the 1887-O Morgan Silver Dollar.
Conclusion
The exploration of the 1887-O Morgan Silver Dollar reveals a complex interplay of factors influencing its value and historical significance. Its origin at the New Orleans Mint, mandated silver content under the Bland-Allison Act, condition-dependent grading, mintage quantity considerations, and the resulting numismatic value all contribute to its desirability among collectors and investors. Understanding these elements provides a comprehensive perspective on this specific coin within the broader context of American numismatics.
The 1887-O Morgan Silver Dollar serves as a tangible link to a pivotal era in American monetary history. Whether viewed as a store of value, a historical artifact, or a potential investment, its significance transcends its silver content. Prudent evaluation, informed decision-making, and an appreciation for its historical context are essential for navigating the market and appreciating the enduring legacy of this coin.
