Lyric discussion by ilikepoetry 

Cover art for Blue Beard lyrics by Band of Horses

I think it's definitely a song about melancholy, feeling sad, feeling numb ("the sun never shines"). He is trying to figure out the meaning and purpose of life if there is so much suffering in it.

His earlier intense fears ("night") have turned to a more general sadness now. Even his memories of a special relationship are fading (can't find the letters you wrote me) and these memories are not sustaining him anymore. All in all, he has lost confidence that there is meaning and purpose in life and in his life because of what he has experienced and what he has lost. He has accepted that life is "boring" and "gray", although part of him wants to "break the ice", escape from this life into something that feels better. Ultimately, he believes that life is a joke being played on him (slipping on banana peels like in old silent movies - one character always planted the peels and laughed when the person fell). He is trying to figure out the meaning and purpose of life if there is so much suffering in it.

My Interpretation