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Ethanol Output Drops 2.9% to 857,000 Barrels a Day, DOE Says

Ethanol production in the U.S. sank 2.9 percent to 857,000 barrels a day last week, the Energy Department reported.

Output slid the most and to the lowest level since Sept. 23, the department said today in its weekly report. Stockpiles declined 2.2 percent, the most since June 8, to 20.3 million barrels, the least since Jan. 20.

Production of conventional gasoline blended with ethanol rose 1 percent to a record 5.5 million barrels a day from a record the previous week, the department said.

Denatured ethanol for July delivery advanced 5.6 cents, or 2.4 percent, to $2.41 a gallon at 11:06 a.m. New York time on the Chicago Board of Trade.

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