Obama Wants To Lose: Gold Will Win Either Way

It became clear very early in the debate last night that President Obama really doesn't want to win. Incredibly, the mass media, including the right-leaning Fox News, were stymied by the President's seeming lack of clarity, his unpreparedness and generally boring performance.

And while Obama Lovers like Chris Matthews wet themselves, in a different way, because of the President's failure I couldn't help but think he did this on purpose. Obama is a smart guy, and yes, he has gotten to where he is by non-material factors, like his historical significance as the first half-black mixed-race President, his supposed oratorical skills (really he's a great reader of written words) and his ability to say whatever he needs to say to whomever is in front of him then totally contradict himself while succeeding in not being called out by the liberal media, but he is not incompetent enough to have flopped in such a manner accidentally.

Where was a reference to "The 47%", Bain Capital or any other Romney talking points? He mentioned the imaginary five trillion in tax cuts Romney is proposing and the also fictional two trillion in additional military spending enough times, but none of those other "hot button" topics. He's too smart to have forgotten. And I doubt that he was unaware that he was losing, nor that he was taking a "high road".

In an interview that was broadcast some time within the last 18 months Obama stated he would be OK with being a one term president. I can't remember who was the interviewer, nor can I quote Obama, but I do remember watching the interview and thinking "He got what he wanted and now wants out".

Back in 2008, before he won the election, my initial opposition to Obama was that I thought he was full of you-know-what. I didn't buy it. I still don't. So many books have been written on Obama proposing myriad theories. He's incompetent. He's a anti-colonialist. He's racist. He's whatever.

What he is is an opportunist. All Obama wanted was to be the "First Black President". He wanted to be a historical figure. He doesn't care about America. He doesn't care about the middle class, the poor, anybody...but himself. He isn't just OK with being a one term president, that's what he wants.

He's wanted out since he got elected. Serving a second term does nothing for his legacy. No matter how bad of a president he may eventually regarded as, Big-Ego Obama doesn't care. He was President. He is a "First" in American history. He'll become very wealthy when he's out of office. He'll have Secret Service protection for the rest of his life and will still be loved by many. He'll get a massive advance on a book deal and command huge speaking engagement rates. If he's "One and Done" he'll leave with a smile on his face. For the countries sake, I hope he does.

Unlike Obama, Gold is not so certain about itself. Having run up quite nicely since July, the questions regarding what happens after the election is giving some gold traders pause. Obama is still in the lead, but this lead is shrinking. If Romney starts to look like he really might win gold may weaken initially, but ultimately it will go higher.

The bank of England recently reinforced its decision to keep rates low. Australia surprised many with a rate cut. Here in the US QE Infinity is our destiny. The European Union will continue to be a mess, with larger problems looming. Germany is still a candidate for departure, no matter what the media sound bites say.

It is a fools proposition to think that the global currency situation will change in any meaningful way, except to get worse. No, the dollar will not collapse, but here has been irreparable damage done and frankly regardless if Romney or Obama win the dollar debasement strategy will continue.

What is occurring and will continue is the diversification of currency in global trade. The dollar dominating as the currency of choice is diminishing and will also continue. There is no argument. And as this occurs the natural impulse to protect against currency uncertainty is to buy gold and other hard assets.

The world has benefited from the short but bountiful tenure of the dominant dollar. Its slide will continue, and it may still be the most used currency decades from now, but as the percentage of dollar transactions reduces, the impact on the US economy and the wealth of its citizens will be felt. Once again, investors must own gold. Everybody must own gold. Gold will rise from here.