NEW YORK ( TheStreet) -- The usual thinking is that human genes must have been loaded with an aversion to crisis. But what's often not discussed is that we actually get excited about crisis. We didn't get to where we are today by sitting on the couch and gulping beer; we survived countless crises big and small, collectively and individually, over the evolutionary scale and in everyday life. Look at the media coverage of hurricane Sandy. You could see the sparkles in the eyes of politicians and newscasters when they talked gravely about it, nonstop. People are excited about this. Despite the tragic loss of life and property that will happen in some areas, let's face it: Deep in our hearts, we don't believe whatever damage we incur will really matter.
At some point we will reach the resource-constraint boundary. Until then, let's take it for what it is as the heartless economic beasts that we are supposed to be in the market: It's bullish. Gold, as represented by SPDR Gold Shares ( GLD) likely will go up since QE3 has changed gold into a proxy for the U.S. economy. Gold used to be a hedge after the 2008 crisis. If the U.S. economy was bad, the Fed was expected to print money in one way or another, and gold was expected to rise. But QE3 changed this dynamic. Because QE3 is committed to infinity and a minimum monthly amount, continued bad economic data would cast doubt on the efficacy of QE3 while good data would imply higher inflation expectations. QE3/OMT high has worn off; depression will likely set in during the morning after. The downside risk has increased until either the supposed fiscal cliff comes to its resolution or we begin to see signs that the economy is improving. At the time of publication, Bo Peng was long gold. This article is commentary by an independent contributor, separate from TheStreet's regular news coverage.