Chicago area ethanol swap prices rallied amid short covering after two ethanol plants in Wisconsin were said to have been shut down due to a power outage.
Trade sources said the rally was seen mostly in the swap and paper markets, with spot prices rising only marginally. Big River Resources Boyceville ethanol plant in Wisconsin was one of the two plants that shut down earlier this week, but it resumed operations Wednesday, said a company source. The plant's power outage was linked to natural gas shortages after a pipeline explosion in Canada on Sunday.
Prompt delivered ethanol at the Argo hub near Chicago traded at $1.90 per gallon, and was last seen at a $1.90 to $1.92 bid/ask spread, up 1 cent. February delivered swaps traded at $1.84 per gallon, up 5 cents on the day.
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