Mo' Better Mogas

I am ashamed that I have not been all over this, but Larry Kudlow weighs in and he's right. The Great Sausage Factory seriously f*^ked with the gasoline supply chain with this last energy bill for no good reason. Predictably, we all will pay the bill for their stupidity. Industry PR efforts are claiming that the disruptions will be minimal as MTBE gets phased out, but privately people aren't as optimistic over the short term. Medium term higher corn prices will work their way into the supply chain as Larry notes, and unfortunately farmers have taken a pass on planting more corn lately because of fertilizer prices. Corn is a fertilizer-intensive crop and skyrocketing fertilizer prices have made farmers reluctant to plant, so are a while away from relief on the supply side. Longer term, who knows, but I have my eye on a hot Mercedes Blu-Tec C class or whatever BMW comes out with in diesel. If the rest of America agrees with me, then ethanol-blended gasoline will be a technology on the decline. It wouldn't be the first time that the Sausage Factory whiffed this bad and bet on a losing horse.