Diesel futures have swung sharply in recent weeks, with energy prices influenced by developments involving Iran and shifting market sentiment. U.S. ethanol production is running near record levels, and the week ending October 30 was the second-highest ethanol output week in U.S. history.
Strong plant margins and favorable basis are encouraging ethanol plants to buy more corn.
Near-record ethanol grind adds steady demand for U.S. corn, and cheap local basis gives plants an incentive to keep buying, which supports corn prices. Volatile diesel and energy prices add uncertainty to input costs and ethanol economics.
Not enough comparable past events yet for a historical read.
Not enough comparable past events yet for a historical read.
Moves of each commodity's benchmark from the last close before the event. Historical reads pool past events of the same kind; they describe what happened, not what will. Not investment advice.