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Ethanol Production in U.S. Falls 1.6%, Energy Department Says

Ethanol output in the U.S. fell 1.6 percent to 892,000 barrels a day, the lowest level in five months, the Energy Department said today.

Production sank the most since the week ended Feb. 24 and to the lowest amount since October 7. Stockpiles fell to 22 million barrels, the first decline since Dec. 9, the department said in a report released in Washington today.

Production of conventional gasoline blended with ethanol climbed 1.6 percent to 5.14 million barrels a day, the department said.

Denatured ethanol for April delivery advanced 1.7 cents, or 0.7 percent, to $2.311 a gallon yesterday on the Chicago Board of Trade, the highest price since Dec. 5.

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