Palin Derangement Syndrome, or "Lipstick on a pig" Take 2

If Senator Obama did not intend the insult, why did he repeat it on the Letterman show? Bush Derangement Syndrome has been replaced by Palin Derangement Syndrome. The Democratic Party candidate for the presidency of the U.S.A. has got it bad.
His excuse for the now notorious "Lipstick on a Pig" jibe at his vice-presidential opponent Governor Sarah Palin is:

"Keep in mind, technically, had I meant it this way, [Palin] would be the lipstick. The failed policies of John McCain would be the pig, just following the logic of this illogical situation," Obama said.

So to all the people (mostly women) who have been in denial that this was an attack on Governor Palin: "SHE WOULD BE THE LIPSTICK" on a pig [McCain].

Obama's "had I meant it this way" sounds like O.J. Simpson trying to cash in on "if I did kill my ex-wife and her boyfriend, this is how I would have done it." I don't know on what planet Obama thinks his "following the logic of this illogical situation" will work, but it isn't in this solar system.

It was a cheap shot. The body language tells me he knew it, was embarrassed by it from the moment it left his mouth. The rest is a bully's denial. Pathetic.

Here's a transcript of what I saw:
“[hand in starts in pocket then moves towards face] but you know you can’t…you-you know you can put..er…[covers his face]…lipstick on a pig…[long pause waiting for audience to cheer]…[takes his hand off his face]…it’s still a pig! [looks around].”

UPDATE: Just checking out Intrade. Here's what people putting their money think.

2008 Pres Obama: 49.0 -3.4
2008 Pres McCain: 50.0 +2.6