The fundamentals of this race have always been Obama with a modest lead. What are seeing now is a tightening of that lead, which is typically what happens as Election Day gets closer. In the key battleground states that Obama needs to hold he's doing fine. The all important firewall in Ohio, Wisconsin, and Iowa will be enough to win him the election no matter how Romney does elsewhere.
The first debate squelched what could have been an Obama landslide and will likely turn it into a narrow victory. People aren't happy with the economy but the fully understand no president was going to fix the mess Bush left behind in 4 years. Obama gets the reluctant nod from America and wins reelection.