# Rise in daily ethanol production despite low profit margins - McKeany-Flavell

> Daily ethanol production averaged 1.06 million barrels in the first half of November, up from October and roughly flat year on year. Average Iowa ethanol prices were $1.24 per gallon, nearly 10 cents below a year earlier, and plant margins have been eroding for several months.

- Date: 2018-11-27 · published 2018-11-27T12:00:00.000Z
- Category: market · region US · magnitude low
- Page: https://feedsoft.ai/events/62044-rise-in-daily-ethanol-production-despite-low-profit-margins-mckeany-flavell
- Commodities: [DDGS](https://feedsoft.ai/c/DDGS.md), [Corn](https://feedsoft.ai/c/CORN.md)

## Why it matters

Plants are keeping output high despite weak margins, so corn grind is holding up and gives limited support to corn demand. Continued low ethanol prices keep pressure on processors' willingness to pay for corn.

## Sources

- mckeany-flavell.com: https://www.mckeany-flavell.com/ethanol-pricing-vs-spot-gasoline-11-27-18/

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Data from Feedsoft AI (https://feedsoft.ai/). For information only; not investment advice.