Difference Between AU-58 and MS-60 in US Gold Eagles
Understanding the small difference between the AU-58 and MS-60 grades is a very important part of professional coin study, especially when looking at investment coins like the US Gold Eagles.
These grades, while having numbers close to each other, show different coin conditions, the difference coming from the presence or total lack of friction marks from use — all of it obviously affect the coin values.
The AU-58 Grade: Definition and Technical Signs
The AU-58 grade, the letters standing for About Uncirculated, describes a coin that was used for a very short time or was handled in a way that put tiny friction marks on its surfaces; this grade is the highest point in the group of coins that have been in circulation.
The Main Technical Rule for AU-58: There must be signs of rubbing or wear on the highest parts of the coin's design, these signs showing damage caused by side-to-side movement, the coin either touching other coins or materials outside the mint bag, or being used in money trading for a very brief moment;
It is important to know that these signs are not marks made during production, but are marks from outside touch, created by rubbing.
Signs of Wear on an AU-58 Coin
The wear is so small that it is hard to see without special light and tools, usually showing up as very thin, side-to-side tiny lines or spots on the design parts that stick out the most.
The original luster can look a little dull or totally rubbed away on the areas with friction, this effect being different from general dullness or broken shine caused by marks from the mint process.
On the Gold Eagle design, which copies the original Saint-Gaudens coin, the high parts that get rubbed include:
The knee of the Liberty figure
Liberty’s shoulder and elbow
The top folds of the cloth
Single pieces of hair or sun rays in the background
An AU-58 coin looks almost perfect to the eye, but the technical check done by the grader always shows the fact of tiny circulation or touch that is not normal bag contact.
The MS-60 Grade: Definition and Technical Signs
The MS-60 grade is the lowest starting point for coins never having been in circulation; following the rules of coin study, an MS-60 coin must have the full original design height kept intact, not having any rubbing or wear marks caused by being used.
The Main Technical Rule for MS-60: The total lack of wear, the coin needing to look exactly like it did when it was first made at the coin factory.
Signs of Damage Allowed on an MS-60 Coin
The main reason for the low MS-60 grade, different from the higher MS-63 or MS-65, is the presence of a large number or very big, distracting contact marks; these marks happen during the moving, counting, or packing of coins at the factory, coins hitting each other or metal tools, these defects being of a production type, not a circulation type.
The shine can be strong but uneven, broken, or having signs of dullness over the whole surface, this dullness not being caused by rubbing.
Thin lines can be present on the surface, these lines being caused by wrong cleaning or handling after the coin was made, but they must not hide or look like wear.
An MS-60 coin can seem to look worse than an AU-58 coin because of many big dents, seeming strange, but technically it is placed higher because its design has kept 100% of its first height and has not been rubbed by circulation.
It often happens that over time your eyes may get blurred and you will not see the difference between small lines, in this case use a free coin value app and find out the grade in 30 seconds.
The Basic and Small Difference
The small difference between AU-58 and MS-60 comes down to looking closely at the type of damage.
Type of Movement
AU-58: The damage started from side-to-side or rubbing movement, being a "smoothing out" of the design's highest points
MS-60: The damage started from up-and-down movement, being a "dent" or "scratch" from a strong touch.
Keeping the Design Height
AU-58: The design height is partly rubbed away on a small level
MS-60: The design height is totally kept intact
Cases Near the Grade Line
Trouble happens in cases "near the line," where the rubbing marks on the AU-58 coin are so small that they could be seen as light contact marks, or when the strong contact marks on the MS-60 coin are placed in a way that looks like wear.
AU-58: A coin having very few bag marks but with clear, though hard to see, rubbing on the key high spots, the grader choosing to see the rubbing marks, moving the coin down to the used (AU) group.
MS-60: A coin having many bag marks, looking bad, and having broken but totally present shine, this coin staying in the MS group because there is no rubbing.
The Role of Shine
AU-58: Shine is present, but it is broken or dull on the areas that have been worn; the rubbing takes away some of the metal surface, causing a change in how the light bounces back.
MS-60: The shine must be full and original, however, because of many contact marks or weak striking, this shine can look broken, not smooth, or grainy; the main point is that the lack of rubbing makes sure the shine was not removed by mechanical wear.
Financial and Market Results
The difference between AU-58 and MS-60 is very important for setting the price, especially for Gold Eagles, these coins being bought and sold as an investment product:
Premium: An AU-58 coin often sells for a very small extra cost over the price of the pure metal or sometimes no extra cost, this coin being officially seen as one that has been used.
MS Starting Point: The MS-60 coin, being the lowest in the Uncirculated group, carries the mental and technical promise that it has not been used, this fact often allowing it to hold a higher, though small, extra cost over the gold value when compared to AU-58.
Collector View: People who collect coins are ready to pay more for an MS-60, even a bad-looking one, than for a perfect-looking AU-58, the MS-60 meeting the technical need of "coin factory condition"; so, the difference in price between these two grades — can look the same to the eye, can be big.
To end, the difference between AU-58 and MS-60 is strictly technical, being based on one rule: has the coin been used (AU-58) or not (MS-60)?
AU-58 shows tiny signs of rubbing, while MS-60 only shows production damage, keeping its original design height.
This difference decides if the coin is put into the "used" group or the "coin factory condition" group, this being the basic step for its coin classification and market value.