US ethanol production hits new five month high

It has been reported by trading risk management group CME that corn ethanol production in the US rose 4% during the last week of November.

That 4% is a five month high and is represented by 835,000 barrels per day. The group also states that inventories have increased by 8.3% over the past three weeks to 19.3 million barrels. This comes after the country suffered the lowest corn harvests since 1936, thanks mostly to an extremely hot summer.

CME was quoted as saying that this means there is ‘a plentiful supply of newly-harvested corn even though profit margins remain poor’.