Nov. 28 (Bloomberg) -- Ethanol futures rose the most in more than six weeks in Chicago on signs that European leaders will resolve the region’s debt crisis.
Futures gained after the Welt am Sonntag newspaper reported German Chancellor Angela Merkel and French President Nicolas Sarkozy are planning a stability pact. Ethanol, made from corn in the U.S., is blended with gasoline as part of the nation’s energy plans to reduce crude oil use.
“Everything was higher,” said Matt Janney, a trader at Citigroup Global Markets Inc. in Chicago. “Commodities as a whole got a boost and that has to do with resolution of Europe’s debt crisis.”
Denatured ethanol for December delivery rose 4.4 cents, or 1.8 percent, to $2.478 a gallon on the Chicago Board of Trade, the biggest gain since Oct. 14. The futures have climbed 4.2 percent this year.
In cash market trading ethanol in Chicago sank 7.5 cents, or 2.6 percent, to $2.85 a gallon and on the West Coast the biofuel dropped 3 cents, or 1 percent, to $2.99, according to data compiled by Bloomberg.
Ethanol in New York advanced 3.5 cents, or 1.2 percent, to $2.985 a gallon and in the U.S. Gulf, the additive added 1 cent, or 0.3 percent, to $2.975.
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