Value Microcaps Junior Energy

[researcher59]

PEIX - Ethanol futures fell sharply yesterday and are down a bit more this morning -

Ethanol futures posted extremely aggressive and sharp losses Wednesday following both double-digit losses in the corn market and rebounding ethanol supplies and production levels in the latest EIA data. Total production of ethanol increased last week to a 14-week high. This indicates that supplies may not remain tight even in the short term, and helped to create aggressive pressure in all nearby contracts. April contracts are near expiration, but still fell 31.7 cents per gallon to $3.20 a gallon. The more surprising move seen through the complex was the May contract, which lost 30 cents per gallon, and fell to $2.488 a gallon. All nearby contracts posted double-digit losses, and could very easily drive additional volatile price shifts into the market through the rest of the week.