Ethanol still in political favor, but facing corn, oil price effects

10/23/2006 | Forbes

Ethanol still has the backing of politicians, but the industry faces dropping oil prices and rising corn prices, both barometers of revenue for makers of the biofuel. Pacific Ethanol's CEO acknowledged overexcitement about the fuel and says the industry is facing "a bit of overcorrection," as Wall Street tries to determine how to value the ethanol distributor and producer and other ethanol companies.

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