What the heck is going on with the E85 prices????

[EyesofThunder]

Last week we were at $2.25, I know, steep for E85. Then it went to $2.55, then $2.74 where it is now.

I can still go 35 mile away and get for $2.24, up from $2.04, but still, $0.50 a gallon jump?????

I am in Rockford, IL, and the $2.24 is in Freeport, IL.

 

[The_Six]

Its only $2.34 here up from $2.22

 

[huckleberry]

price

I love the south! It:s only $1.98 here in crowley Texas

 

[EyesofThunder]

We have a ethanol plant near, real close, not sure what happened, you are talking 25% increase in ethanol prices....

I love the south! It:s only $1.98 here in crowley Texas

 

[1outlaw]

It is reflective of the speculation going on right now in the corn markets for one. These markets took off when Russia anounced they were going to stop wheat exports due to the drought there. This got traders who have not been doing so well in stocks or real estate based trades to take a look at all grain commodities even though there should be virtually no connect between Russian wheat and US corn. The dollar slumping relative to other currencies added to the effect by making US corn cheaper than other grains which adds demand here but less elsewhere. Furthermore the USDA reduced predicted corn yield from 165 to 163 per acre-- all these things just lead to speculation going wild until the pendulum swings and bursts the bubble. Corn is up at least $1 from 4 weeks ago and that is equal to 35 cents in added cost to make ethanol (E98). Hopefully as harvests proceeds this will settle down a bit.
In some ways this commodity bubble is like 2008 with many of the same funds players in the market speculating.

Adding to this is that a few stations in the north would be switching from E85 summer blend to about an E78. The added gas would cause about a 3-4 cent increase right now all by itself.

$2.35 for WI /IL is likely a fair retail price right now for direct ethanol plant to retail station purchases, given the above and taxes in the area. Problem is for FFV owners is that this is the also not far from the time when the gas % will jump again and gasoline prices will continue their freefall into December further narrowing the gas to E85 price gap. This has happened every year I have followed it (since 2004).

 

[Chuck Leeper]

Gas here has gone up $.10 in 1 day..Expect more increases....

 

[gteatr6]

Look at it this way, it is still cheaper than cam2:biggrin:

 

[turbo6x2]

Still cheaper then race fuel at 6.29 a gallon as well.

 

[gteatr6]

Last week we were at $2.25, I know, steep for E85. Then it went to $2.55, then $2.74 where it is now.

I can still go 35 mile away and get for $2.24, up from $2.04, but still, $0.50 a gallon jump?????

I am in Rockford, IL, and the $2.24 is in Freeport, IL.

Dixon, IL is always cheaper. That goes for premium fuel also. Usually gas is at least .20 cheaper than Rockford. Loves park/Machesney Park are also cheaper on both. I don't recall what I bought e85 for last week down in Dixon. I will never go back to gas, this stuff is awesome:biggrin:

 

[Hot Air]

At least it is available in your area. I have to drive 1.5 hours each way to get it!
Hot Air

 

[DoubleD]

Mine has also gone up almost $.50 recently in the schaumburg, IL area. FAIL. I DD one of my 99 regals on E85... starting to suck.