Ethanol declined in Chicago for a fourth day following a government report that production last week climbed to the highest level since December. Futures fell 4.1 percent after the U.S. Energy Information Administration said output increased 4.8 percent to 939,000 barrels a day, the steepest gain since Sept. 27. “The trade is really keying on the production number; it was big,” said Mike Blackford, a consultant at INTL FCStone in Des Moines , Iowa. Denatured ethanol for May delivery fell 9.3 cents to settle at $2.172 a gallon on the Chicago Board of Trade, the lowest since Feb. 24. Prices have gained 14 percent this year. Gasoline for May delivery slid 0.16 cent to $3.0405 a gallon on the New York Mercantile Exchange . The contract covers reformulated gasoline, made to be blended with ethanol before delivery to filling stations. Ethanol’s discount to the motor fuel expanded 9.14 cents […]