Spot ethanol prices were shallowly mixed in early trade Thursday, with the Argo cash value in the Chicago market trading a penny higher at $1.40, $1.4075 and $1.42 gallon, while June swaps changed hands at $1.44 gallon for a 2.0cts loss on the session. Ethanol supplied under Rule 11 terms for rail shipment this week traded at $1.37 gallon, down 0.5cts on the session. May ethanol supply at the New York Harbor was talked at a $1.47 to $1.50 gallon bid/ask, up 0.5cts.
A trade source said the ethanol market remains fundamentally bearish. He noted that as export demand for ethanol eases U.S. producers are becoming heavily reliant on domestic blending demand while domestic production and supply are higher.
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