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Ethanol Production Gains 0.5%, U.S. Energy Department Says

Ethanol output in the U.S. increased 0.5 percent last week to 943,000 barrels a day, according to an Energy Department report.

Stockpiles swelled 3.5 percent to 17.7 million barrels, the department said in a report today. That’s 5.3 percent higher than a year earlier. Output was 5.7 percent higher than a year ago.

Production of conventional gasoline blended with ethanol rose 2.2 percent to 5.26 million barrels a day, the highest level since Aug. 12. Refiners receive a 45-cent tax credit for every gallon of ethanol blended into the motor fuel, a measure that expires Dec. 31.

Denatured ethanol for January delivery rose 0.3 cent to $2.143 a gallon at 10:44 a.m. New York time on the Chicago Board of Trade. Futures have fallen 9.9 percent this year.

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