I don't see the current location as bad at all. As I pointed out, it has three resources - corn, elephants, and a river, and all three are very good resources. My justification for settling in the original spot is that locations as good as this aren't always available. I really don't think further search makes sense for exactly that reason - you could wander for many turns before finding anything better.
The spot 1E of where the settler is has 7 grassland and a corn, which, when irrigated, is *plenty* of food to work the three hills and an elephant. It's a poor commerce location but great production location and IMO the first city should be a production city. In any case the initial capital doesn't *have* to be a commerce city. The exact spot the settler is in is a bit touchier because it has less grass and more hill but will still be an excellent location until the population gets over 15 or so. The spot 1E also gets the corn right away, which is something of a boost.
I can already see two good nearby cities. One is back at the starting point, which gets 3 resources ( since it must settle on a fur) plus some river. The other is the next upriver site. Of course better options may lie to the west - but it looks decent already.
So, like Validator, I say move 1E and settle.