Ethanol Blog
Rick Kment DTN Analyst

Friday 08/09/13

Ethanol Futures Settle Lower for the Week

Across all ethanol contracts, moderate to strong losses developed through the first full week of August.

September ethanol futures closed at $2.145 per gallon after losing 4 cents per gallon for the week. Other nearby contracts, which were unable find the short-term support last week similar to the front-month contracts, continued to trend lower for the week. All but front-month September futures are trading below the $2 per gallon range.

This recent pressure associated with corn futures prices nearing the $4.50 per bushel level in December contracts is posting contract lows in all but front-month September contracts.

It is uncertain just how much support will remain in the ethanol market once the premium for summer demand evaporates. The 25-cent price discount seen between the September and October futures may continue to create market uncertainty through the next couple of months. There is a lot of focus being put on the movement of the corn market surrounding the USDA report Monday. This could add additional volatility to the market.

Rick Kment can be reached at rick.kment@telventdtn.com

(ES)

Posted at 4:02PM CDT 08/09/13 by Rick Kment
Post a Blog Comment:
Your Comment:
DTN reserves the right to delete comments posted to any of our blogs and forums, for reasons including profanity, libel, irrelevant personal attacks and advertisements.
Blog Home Pages
September  2014
S M T W T F S
   1 2 3 4 5 6
7 8 9 10 11 12 13
14 15 16 17 18 19 20
21 22 23 24 25 26 27
28 29 30            
Subscribe to Ethanol Blog RSS
Recent Blog Posts