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Corn Oats Spread!

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    Corn Oats Spread!

    Corn and oats trade close together as one can see by last night's results. Buy funny thing Oats is trading way lower in relations to corn all year. Why?
    One reason might be that the oats buyers think farmers in Western Canada are idiots and going to grow oats this spring because its wet. Here is a simple thought since oats is trading way lower than any other crop and their was a ps poor crop last year most farmers have lots of choices this spring. Oats will be forgotten on most farms especially if it stays wet. Why because the wet areas will seed Canola Flax and Barley and Wheat for rotation.
    Its one time I think the "Oats" buyers are screwing up.

    #2
    Corn topped out last night higher than its previous Feb high. Oats is half its previous high. HM.

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      #3
      Oat buyers are betting on a late spring, hence farmers switching to oats at least on marginal ground.

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        #4
        Good luck with that strategy. Last year, anything seeded late was shit.

        But as usual, you can make more on shit grain than good quality, if the buyers are short.

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