Economic Calendar

Tuesday, September 2, 2008

Gustav shields McCain from Democrat barbs

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* Republican convention off to a slow start

* 10,000 protest against Bush and Iraq war

* Bush may address convention remotely - reports

* Republicans rally around Sarah Palin

By Steve Holland

ST. PAUL, Sept 2 (Reuters) - Not only is Gustav slowing Republican presidential hopeful John McCain's big convention party, it also is sparing him from Democratic criticism that his election would amount to a third Bush term.

Convention organizers held a truncated business-only session on Monday and scrapped a planned speech by President George W. Bush, who visited Texas instead to oversee Gustav relief efforts.

The absence of the president, whose nationwide approval ratings hover around 30 percent, did not deter a crowd of as many as 10,000 protesters who marched to the convention hall, chanting anti-war slogans and holding signs criticizing Bush and the war in Iraq.

Police in riot gear used pepper spray and smoke bombs, and arrested at least 130 demonstrators.

As Hurricane Gustav slammed the Gulf coast on Monday before being downgraded to a tropical storm, an unofficial bipartisan ceasefire prevailed, with most Republicans and Democrats pulling their punches while a major part of the country was being battered by the storm.

Several television news channels reported that Bush may address the convention remotely on Tuesday but the White House would not confirm the reports. According to the White House, Bush has no official engagements on Tuesday.

Normally, Republican speakers this week would be extolling the virtues of McCain and trying to define his Democratic rival Barack Obama as a liberal who would raise taxes.

Instead, the conclave in Minnesota has turned from politicking to raising money for Gustav victims, with U.S. first lady Laura Bush and McCain's wife Cindy leading the charge.

Democrats arrived in St. Paul looking to attack McCain just as the McCain team had lashed out at Obama all last week at Obama's nominating convention in Denver. McCain is to be formally nominated by the Republicans on Wednesday as the party's candidate to face Obama in the Nov. 4 election.

The Democrats' message is that McCain offers "more of the same" as Bush, whose handling of the Katrina hurricane three years ago was widely criticized and contributed to his low approval ratings.

MIXED BLESSING

While McCain is missing out on a chance to define Obama for the American people, he also is not having to endure criticism about appearances by Bush and Vice President Dick Cheney, who both canceled trips to St. Paul to speak.

As Gustav steals St. Paul's thunder, McCain's vice presidential running mate, Alaska Gov. Sarah Palin, is undergoing new scrutiny and paying some dividends for McCain.

Palin's surprise pick has injected some fresh energy into the McCain campaign, leading to larger crowds at his rallies. Since he made the announcement last Friday, his campaign has raised $10 million, contributing to an August tally of $47 million.

But Palin also brings some baggage to the ticket.

She and her husband Todd announced on Monday that their 17-year-old daughter, Bristol, was pregnant, and said the news was being released to counter Internet rumors that the Alaska governor's five-month-old son was actually her daughter's baby.

Republicans, however, rallied around Palin following the announcement.

"I just think she's remarkable," Cindy McCain told the Fox News channel. "She truly is a great match for my husband." (Additional reporting by John Whitesides and Andy Sullivan; Editing by Sandra Maler)


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