U.S. ethanol production fell 0.5% to 805,000 barrels a day in the week through last Friday, easing after an increase the prior week, data from the U.S. Energy Information Administration showed Wednesday.

U.S. ethanol stocks last week dropped 5.5% to 17.4 million barrels, the lowest level since December 2011, the EIA data showed. Stocks have eased from levels in December last year, when they hit a six-month high of 20.8 million barrels.

U.S. ethanol output has been weak since last summer as producers have struggled with poor margins, due partly to high corn prices after last year's severe U.S. drought. Production bottomed out in the week through Jan. 25, when output of 770,000 barrels a day was the lowest since weekly record-keeping began in mid-2010.

Write to Owen Fletcher at owen.fletcher@dowjones.com.

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(END) Dow Jones Newswires

March 27, 2013 10:43 ET (14:43 GMT)