In January, an investor shorts an April gold futures contract to sell 100 oz of gold @$1,050. The spot gold price on the futures settlement date in April is $1,065 per oz. What is the investors profit or loss?

1. The investor will realize a profit amounting to $1,500
2. The investor will incur a loss amounting to $1,500
3. The investor can choose not to fulfill the contract and thus have no profit or loss
4. None of the above is correct