U.S. spot ethanol prices rose Wednesday afternoon as limited railcar capacity to deliver the product to customers caused ethanol shortages in some regional hubs, traders said, offsetting federal data released today showing domestic ethanol supply rose during the week-ended Feb. 7.
Federal data showed ethanol stocks spiked 2.4% to 17.1 million bbl for the week, but most of that build was in the Midwest where there's a backlog of supply tied to a dearth of rail cars. Today transfer ethanol at the Argo hub near Chicago traded at $1.99 per gallon, up 2.0 cents on the day, while New York Harbor ethanol barge for prompt delivery was pegged at $2.50 per gallon, up 2.5 cents.
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