The futures price of the 6-month gold contract is greater than the spot price. Therefore, an arbitrage opportunity exists (cash-and-carry arbitrage).

An investor should take the following steps at time 0:

1. Borrow $1,205 for 6 months at the risk-free rate
2. Buy gold at the spot price of $1,205
3. Take a short exposure in the 6-month gold futures contract for the futures price of $1,253

At the expiration of the futures contract:

1. Sell gold at the futures price of $1,253
2. Pay the borrowed money with interest of $1,205 × e^(0.06 × 0.5) = $1,205 × 1.03045 = $1,241.69
3. Earn the cash-and-carry arbitrage profit of ($1,253 − $1,241.69) = $11.31