In a futures market for a consumption commodity that provides no income, suppose we consistently observe that F₀ < (S₀ + U)e^rT. Which of the following factors would explain why prices do not adjust so that F₀ = (S₀ + U)e^rT?

A.

Holders of the commodity derive value from using it in production.

B.

Holding the commodity entails significant storage costs.

C.

Borrowing costs are excessive.

D.

In the futures market traders rarely make or take delivery of the commodity.