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It's the economy...

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Gas prices will probably bottom out above $2 per gallon, says USA Today

Previewing Bush's economic remarks today, Bloomberg says his "bid to win his party credit for an improving economy" is "given new urgency by Republicans' difficulty in making moral values and the war on terror central issues in the mid-term elections." 

The Los Angeles Times, also noting Bush's turn to education and the economy, says "neither topic is a sure winner, even as he suggests they are reason to vote Republican in the upcoming elections...  Allan B. Hubbard, chairman of the White House National Economic Council,... told reporters Thursday that despite the slowdown in housing prices, the still-high price of gasoline, and the ongoing problems of the Big 3 auto manufacturers, voters had reason to be optimistic about the economy." 

The Financial Times covers Pelosi's economic speech yesterday, saying it "was long on promises but short on strategy."  Still: "Although it has been criticised for lacking in depth, the Democrat party's economic platform appears to be tapping into widespread economic anxiety among voters that is expected to help the opposition party at the polls in November."  Pelosi also "skirted the issue of whether, as is widely expected, the Democrats would permit Mr Bush's tax cuts to be rescinded."