en.Wedoany.com Reported - Data from the Energy Information Administration (EIA) shows that for the week ended July 24, U.S. ethanol daily output averaged 1.13 million barrels, up 3.6% week over week, climbing to the second highest level on record. The rise in output has strengthened corn demand while also increasing demand for fuel and export transportation.

Weekly average daily output was equivalent to 47.59 million gallons, 3.4% higher than the same period last year. The four-week moving average stood at 1.09 million barrels per day, equivalent to 16.76 billion gallons on an annualized basis.

Ethanol inventories rose 1% week over week to 24.7 million barrels, the highest level in nine weeks. Inventory increases in most regions may strain storage, rail, truck, barge, and terminal handling capacity.

Exports fell 13.3% to 137,000 barrels per day (equivalent to 5.8 million gallons). Gasoline supply rose to 9.04 million barrels per day, but remained below both year-ago levels and the five-year average.

Producers are monitoring whether strong output can continue to support corn basis levels and plant bids. The pace of export recovery and changes in domestic blending demand will determine whether rising inventories can be quickly absorbed through the transportation network.