Spot ethanol prices moved higher in Chicago, New York and California despite data from the Energy Information Administration showing a build in ethanol fuel supply for the week-ended July 29.
A trade source said the ethanol price gains were sparked by EIA data showing demand continues to improve and that most of the reported stock build was concentrated in the Gulf Coast, reflecting a surge in products to be shipped abroad.
In cash trade, prompt delivered ethanol at the Argo supply hub in the Chicago market traded at $1.375 per gallon, up 1.25 cents, while Chicago ethanol under Rule 11 for next week shipment was pegged at a $1.36 per gallon, up 1.0 cent. New York Harbor August ethanol barges were valued at $1.44 per gallon, up 1.5 cents. This week shipment of ethanol to northern California was offered at $1.56 per gallon for a 1.0-cent gain.
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