In a microwave-safe bowl, combine 1 cup red candy melts, 1/4 cup creamy peanut butter, and 1/2 tablespoon vegetable oil. Microwave on high for 30 seconds, stir, and continue cooking in 15-second intervals until melted and smooth.
Meanwhile, pour 4 cups of chex cereal in a large bowl.
Pour the melted peanut butter and candy mixture over the cereal and quickly stir to coat.
In a one gallon ziplock bag, pour the 1 cup powdered sugar. Then pour the coated cereal into the gallon bag. Seal close and shakre to coat the cereal.
Pour onto parchment paper lined cookie sheet and allow to cool.
Repeat the process with 1 cup green candy melts, the remaining 1/4 cup creamy peanut butter, the remaining 1/2 tablespoon vegetable oil, the remaining 4 cups Chex cereal, and the remaining 1 cup powdered sugar using the second one-gallon ziplock bag.
Once both the red and green puppy chow are cooled, combine them on a baking sheet or in a large bowl and sprinkle 1 1/2 cups Christmas M&M’s over the top. Stir gently to combine.
Store in an airtight container for up to a week.
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Notes
This recipe makes a big batch so it’s perfect to hand out to friends, neighbors and more for the holiday.