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Ethanol Stocks Swell, Production Down

By John Perkins

Ongoing demand uncertainties and declining margins are contributing to a decline in ethanol demand.

Ongoing demand uncertainties and declining margins are contributing to a decline in ethanol demand.

The U.S. Energy Information Administration says production averaged 1.061 million barrels a day, down 16,000 on the week and 26,000 on the year.

Iowa State University’s Center for Agricultural and Rural Development reports margins for the average producer in Iowa fell to the lowest levels this year.

Another sign of slowing demand, stocks jumped 1.152 million barrels to 24.409 million, the largest supply since mid-April and 3.526 million above a year ago.

The Renewable Fuels Association says net inputs by ethanol refiners and blenders were up 3.7% from the previous week, but the volume of gasoline supplied to the market fell 1.2%.

Iowa State University’s Center for Agricultural and Rural Development reports margins for the average producer in Iowa fell to the lowest levels this year.

Another sign of slowing demand, stocks jumped 1.152 million barrels to 24.409 million, the largest supply since mid-April and 3.526 million above a year ago.

The Renewable Fuels Association says net inputs by ethanol refiners and blenders were up 3.7% from the previous week, but the volume of gasoline supplied to the market fell 1.2%.

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