Spot ethanol prices rally on expectation of domestic supply draw and higher seasonal fuel demand. Domestic supply was at a 17.0 million bbl four-week low as of May 16, U.S. data showed.
"I think we'll see a decrease in inventories, depending on (domestic ethanol) production," said a broker. May transfer ethanol at Argo was talked 2.5 cents higher at $2.41 to $2.45 per gallon bid/ask, following an early trade at $2.40 per gallon. Ethanol in northern California traded at $2.73, $2.75 and $2.78 per gallon, up 8.5 cents, while New York Harbor May barged ethanol was talked 3.5 cents higher at a $2.41 to $2.45 per gallon bid/ask after two trades at $2.40 per gallon.
George Orwel can be reached at firstname.lastname@example.org
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