We present a catalytic strategy to upgrade the light fraction of a simulated bio-oil, consisting of acetic acid, acetol, and furfural. The acid content of the feed was significantly reduced by ketonization at 623 K over a ceria-zirconia (CeZrOx) mixed oxide catalyst. The presence of furfural decreased the ketonization activity; however, it was possible to regain the initial catalytic activity by removal of furfural from the feed. Acetol was highly reactive over the mixed oxide, and its presence did not influence the ketonization activity. The results from reaction kinetics measurements for conversion of acetol suggest that the primary products are pyruvaldehyde and 1,2-propylene glycol formed by transfer hydrogenation. These two primary products then undergo reactions in series and parallel to produce an array of C-3-C-6 carbonyl compounds, constituting an upgraded intermediate feed appropriate for further processing steps to obtain transportation fuel components. (c) 2013 Elsevier B.V. All rights reserved.