Ethanol Blog

U.S. Senate Bill to Purge Corn Ethanol from RFS Spurs Selloff

By  George Orwel

News that U.S. Sens. Diane Feinstein, D-Calif., and Tom Coburn, R-Okla., introduced a bill to purge corn-based ethanol from satisfying the Renewable Fuel Standard mandate has led to a steep fall in spot ethanol prices Thursday. Traders worry ethanol demand will be reduced.

A trader argued the bill has little chance of becoming law and instead attributed the price drop to overbought market conditions. New York Harbor barged December ethanol was offered 32.5 cents lower on the day at $3.00 per gallon while today transfer ethanol at the Argo terminal near Chicago traded at a $2.30 per gallon, down 9.25 cents.

George Orwel can be reached at george.orwel@telventdtn.com

(ES)

© Copyright 2013 DTN/The Progressive Farmer. All rights reserved.

P[L1] D[0x0] M[300x250] OOP[F] ADUNIT[] T[]
Previous Post (Ethanol Production Grows)
Next Post (Spot Biodiesel Sales Slow to Crawl Despite Tax Credit Expiry) 
P[] D[728x170] M[320x75] OOP[F] ADUNIT[] T[]

P[L2] D[728x90] M[320x50] OOP[F] ADUNIT[] T[]

Comments

To comment, please Log In or Join our Community .

melvin meister
12/13/2013 | 10:14 AM CST
Both carry dirty water for Big Oil .$100 Frack oil cannot compete with $1.65 gal.ethanol so lets go kill ethanol . E-30 the best fuel ever used 34 MPG in Malibu .
DAVID FREMARK
12/12/2013 | 5:04 PM CST
corn based ethanol must be a miracle product to get diane feinstein and tom coburn together. tom your in some shakey company. its too bad tom doesn't do a little homework before jumping on the train with feinstein.