Silver Dollars & Trade Dollars of the United States - A Complete Encyclopedia
Q. David Bowers
1884-S Morgan Dollar
Coinage Context
Into circulation: In 1884, the production of Morgan dollars at the San Francisco Mint amounted to 3.2 million pieces, most of which were probably placed into circulation, a situation which in the Morgan dollar series was not normal. Large quantities of most other contemporary issues were bagged and then relegated to storage, to see the light of day in 1962-1964. Apparently, not so with 1884-S.
Numismatic Information
Distribution: Of the 3.2 million 1884·S dollars minted, probably the vast majority went into circulation during the nineteenth century, as noted above. Some undistributed bags may have been melted under the provisions of the 1918 Pittman Act, but in any event, in worn grades the issue is not rare. Relatively few Mint State coins were saved until later years, with the result that on the numismatic market today, Uncirculated coins are both highly prized and highly priced.
Hoard coins: To use the word "hoard" in connection with Mint State 1884.S dollars may be doing the issue an injustice. However, it is known that limited numbers of this issue dribbled out from storage in the Treasury Building in Washington, D.C. as early as the early1930s, and continuing through at least the very early 1950s. If any full bags were paid out, I have not learned of the situation. In 1934 dealer Ambrose Brown was advertising single coins for $1.35; apparently, 1884-S was not considered to be rare then. The supply seems to have dried up, and by 1945, single coins were selling in the $10 to $12 range.
In 1926 many were released to banks from storage at the San Francisco Mint. In the 1950s, a few bags came out from storage at the same facility. The price fell, and in December of that year, Norman Shultz priced single coins for just $2.50. This supply was quickly taken up, and the price of 1884·S dollars rose again. In 1957·1958, and possibly for a year or two later, additional quantities were paid out by this source. Although I have found no records of mint-sealed bags of 1884.S dollars changing hands, as late as 1964, rolls of 20 Uncirculated coins were being advertised (by Dan Morafka, for $450 per roll). By that time, Treasury holdings had been exhausted long since. I believe that several thousand coins, mostly in lower Mint State classifications, went into the hands of dealers, investors, and collectors during the 1950s and early 1960s. Where most of these are now, I don't know. It has been years since I have seen an Uncirculated roll.
Circulated grades: AU coins are common. Dean Tavenner recalls buying large quantities of 1884-S dollars that came from Mint bags and were nearly Uncirculated. Apparently these had circulated for just a short time: "two-beer" dollars. Worn specimens in lower grades are readily available as well.
Mint State grades: While AU and borderline coins occur with some frequency and are occasionally pushed over the MS-60 line by optimistic owners, in reality, true Mint State coins are rare even at lower levels, as indicated above. Dean Tavenner stated that there has never been an original BU roll of 1884-S dollars documented. There is a rumor of a bag of these in the western United States but this is not confirmed.' My estimated population numbers do not include this bag.
I suggest that in MS-60 to 62 grade, some 1,500 to 3,000 1884-S dollars remain. At the MS-63 level probably no more than 400 to 800 survive, and in MS-64 just 80 to 150. MS-65 specimens are among the rarest in the Morgan series; only a dozen to 20 are believed to exist. The appearance of an MS-65 coin is a major numismatic event for the silver dollar fraternity. Most Mint State 1884-S dollars are weakly defined at the centers.
In his Morgan and Peace Dollar Textbook, Wayne Miller wrote that the tremendous price increase that occurred in the Morgan dollar series in the late 1970s and early 1980s brought many rarities on the market. During that period he examined "at least a dozen fully gem 1884-S dollars." Further:
The 1884-S can no longer be classified as an ultimate rarity in gem condition. However, mystique which has developed around this date is sure to continue. Gem 1884-S dollars are so lovely they are easily saleable. The finest piece the author has seen was sold in early 1979 for $18,000 by Fred Sweeney, Inc. Tom Tkacz sold a "wonder" coin to Chuck Walanka for $42,500 in 1980.
In his book Wayne Miller illustrated a superb gem piece which sold for 10 times the bid price in 1970 when he bought it for $250. More:
The existence of a dozen or so gems does not relegate the 1884-S to a significantly lesser status, however. Many Mint State specimens are weakly struck, with steel gray, unnatural lustre. Such pieces, while technically in Mint State, are so unattractive they are usually priced as sliders. That's why the gem pieces command such huge prices.