Ethanol Blog
Rick Kment DTN Analyst

Wednesday 03/26/14

Ethanol Inventory Grows

Ethanol prices turned lower Wednesday following the latest EIA report data which posted a strong bounce in ethanol inventories at the end of last week. Weekly inventory levels increased 2.5% or 16.5 million gallons in just one week. Total ethanol supplies are currently at 657.4 million gallons. This is still 10.3% under year-ago levels, and could help keep buyers aggressive going into the summer driving season.

This inventory boost came as overall ethanol production across the country slipped slightly. Total ethanol production fell 0.7% or 252,000 gallons of ethanol per day. The recent support in corn prices are still overshadowing aggressive production margins and limiting some producers from ramping up too fast. It is also hard for some of these plants to produce much more on a short-term basis, based on the ability to move product out of the plant and into the inventory systems.

Inventory and production is expected to see some additional volatile shifts over the next several weeks, but the market is still likely to remain bullish.

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

(ES/)

Posted at 3:36PM CDT 03/26/14 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
April  2015
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
  • Argo, PNW Spot Ethanol Prices Nudge Higher in Thin Trade
  • An Economic Case for Ethanol
  • Spot Ethanol Gains at Argo, Steady in New York Harbor
  • Grains Council Works to Open Cuban Markets
  • Ethanol Production Sliding Lower
  • Spot Ethanol Advances After Bullish Weekly Supply Report
  • D6 RINs Extend Higher; Spot Ethanol Prices Flat
  • D6 RINs Edge Higher While Spot Ethanol Prices Ease
  • Corn Prices Remain Range Bound
  • DDGS Rise to Highest Level in Five Months
  • Spot Ethanol Prices Weaken Amid Sluggish Demand
  • Gasoline Stocks Change Direction
  • Spot Ethanol Prices Mostly Flat in Lackluster Trade
  • Spring Buying in the Air
  • DDG Prices Rise Slightly in Slow Week of Trade
  • Ethanol Drawing From Strong Gasoline Demand
  • Grains Council Targets Caribbean Markets
  • Spot Ethanol Prices Mixed in Thin Trade
  • April 1st Buying Frenzy on Supply Reductions
  • Bullish EIA Supply Report Spurs Rally for Ethanol Prices