U.S. ethanol production fell 0.4 percent last week to an average of 1.114 million barrels a day, according to the latest data from the Energy Information Administration. Output dipped slightly from the previous week, which counters a sharp reduction seen the last two years during the period. Additionally, production was fairly resilient despite recent cold temperatures, maintaining a pace well above the five-year average.

Estimated corn crushed for ethanol was about 107.5 million bushels. Cumulative crushings for the marketing year are estimated at approximately 2.222 billion bushels, reaching nearly 40 percent of the USDA’s target. Processors need to average about 108 million bushels to meet the target of 5.6 billion bushels.

Ethanol inventories fell 1.3 percent last week to 25.4 million barrels. Stocks were 1.3 percent less than the same week last year but was 2.5 percent higher than the five-year average.

Implied gasoline demand rose sharply last week to the highest level since mid-December. Bloomberg said the reported increase was likely due to gas stations filling up tanks ahead of the winter storm. Gasoline stockpiles rose to their highest level since June 2020 and are the highest seasonal level since that year. Strong gasoline demand last week could reverse recent increases in stockpiles.

Ethanol exports fell to an average of 157,000 barrels a day, down from 218,000 barrels the previous week. Shipment did average near a record again the previous week, as demand from countries remains strong.

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