Corn On Commodity Watchlist

Corn Trading Cheapest to Gold Since 1975
An ounce of gold is worth the most bushels of corn in at least four decades, signaling the grain is “dirt cheap,” according to AgriVisor LLC.

“Understanding the relative values can help one determine in which sectors investment money might be channeled,” said Dale Durchholz, the senior market analyst for Bloomington, Illinois-based AgriVisor. “Corn is a better value than gold.”

 My view:

While corn is certainly beat up over the past year, I would argue with the "better value than gold" statement.  Gold is near a two year low, and offers monetary protection in a fiat currency world of central bank meddling.

Still, corn may be in for a good sized rally sometime over the next month or more, as it has moved a long way below its 200 day moving average.