Ethanol Blog

Pullback in the corn and ethanol futures prices Friday was not enough to change the upward trend for the week. Ethanol futures prices rallied 7.7 cents per gallon higher through the week with the combination of the recent corn rally and tighter ethanol stocks helping create more bullish tones through the complex. September ethanol futures closed at $2.222 per gallon at the end of the week. A strong premium remains in front-month futures with traders focusing on the ability to draw increases retail trade to the complex due to strong demand and economic support over the next few weeks. October contracts are unlikely to make headway on the short-term supply market, and could create increase uncertainty through the rest of the year.

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

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