Spot ethanol prices in Chicago, New York Harbor and Houston slumped further Thursday afternoon, extending their decline to multi-month lows on building supply, with U.S. inventory climbing four consecutive weeks through Aug. 17 to a 23.259 million barrel five-month high, according to the Energy Information Administration. Supply is likely to continue higher, with domestic production outpacing blending demand by more than 130,000 barrels per day during the four weeks ended Aug. 17.
Prompt delivered ethanol at the Kinder-Morgan operated Argo terminal in Chicago fell 3.0 cents to a fresh seven-month low at $1.31 gallon early Thursday afternoon. In the New York Harbor, spot price declined 4.75 cents to an 8-1/2-month low at $1.39 gallon, with the spread between the Harbor and Chicago narrowing to an 8.0-cent-per-gallon Harbor premium, an 8-1/2-month low. In Houston, ethanol dropped 4.75 cents to its lowest spot price since Jan. 11 at $1.3925 gallon.
Brian Whary can be reached at email@example.com
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