About this chart: This is the weekly price of nearby ethanol futures. This chart shows the major high at $1.78 per gallon back in December 2016. From the high, prices went sharply lower, eventually bottoming at $1.20 per gallon in November 2018. The recent Energy Information Agency reports has showed very strong ethanol demand and usage. The ethanol market rallied this week to new two-year highs, closing up 13 cents per gallon this week. The next major resistance is at the April 2017 high at $1.69.
What this means for you: The rally in ethanol has been supportive for corn prices. The value of a bushel of corn processed into ethanol was up about 37 cents per bushel this week, about the same as the rally in July corn futures.