Motor fuel compositions containing ethanol, also known as gasohol, are disclosed, wherein the motor fuel is substantially in one phase and contains, 1 to 50, preferable 2 to 30 weight % of ethanol and an amount of water between 1 and 10 wt. % on the basis of the weight of the ethanol. Such motor fuel compositions can be produced by blending gasoline with hydrous ethanol, thus evading the necessity to use anhydrous ethanol as feedstock. Furthermore such motor fuel compositions may be produced by blending gasoline with hydrous ethanol and anhydrous ethanol, thus evading the necessity to use anhydrous ethanol as the sole feedstock. These motor fuel compositions may contain a second liquid phase that does not form a separate layer, and where no separate liquid phase can be detected by vision, and so meets with the specification that has become known as “clear and bright”.