By Bill O'Reilly

Jon Stewart now mocking President Obama over the Libyan assassination situation, that's not good news for the President because up until now, much of the liberal media has ignored the facts surrounding the terror attack on Ambassador Christopher Stevens.

But last night Stewart went to town.

(BEGIN VIDEOTAPE)

STEWART: So the administration's story was that one anti-Muslim video on YouTube happened to touch all the massive protests that happened to occur on the anniversary of September 11th and happened to spread quickly to 27 other places. It's seems implausible, but two days after (inaudible) press conference, they had an explanation for that too.

(BEGIN VIDEO CLIP)

SUSAN RICE, U.S. AMBASSADOR TO THE U.N.: Our current assessment is that what happened in Benghazi was, in fact, initially a spontaneous reaction to what had just transpired hours before in Cairo, almost a copy cat of the demonstrations against our facility in Cairo which were prompted, of course, by the video.

(END VIDEO CLIP)

STEWART: Copy cats. So Libya wasn't the ring. It was "The Ring 2." So five days after the attacks, the White House was still sticking to the video story. But on the eighth day, the director of National Counter Terrorism Center went in front of Congress with a slightly different assessment.

(BEGIN VIDEO CLIP)

MATTHEW OLSEN, DIRECTOR OF NATIONAL COUNTER TERRORISM CENTER: I would say yes, they were killed in the course of a terrorist attack on our embassy.

(END VIDEO CLIP)

STEWART: Of course, he's going to say it was a terrorist attack. He runs the counterterrorism center. I mean he sees everything as terror product. It's like if you have some ghost busters, they blame ghosts. You know what I mean.

Now a cynic would argue that the President has been unwilling to admit our embassies were targeted by terrorists because that will make him look bad right before an election. But hey maybe all this back and forth has just been honest confusion.

(END VIDEOTAPE)

O'REILLY: Not likely. As we discussed on The Factor last night, the Libyan situation and foreign policy in general has not arrested the attention of casual voters who remain locked into the economy and in many cases, ideology.

But Mitt Romney would be smart to seize on the Libyan controversy as part of an overall competence challenge to Mr. Obama. If the economy remains bad and it does, just check out earnings from Ford and GM today and America's overseas strategy is wobbling, which it seems to be, Governor Romney should have some heavy verbal ammunition to use in the debate tomorrow night.

For his part, the President will remain steadfast that everything is going according to plan.

(BEGIN VIDEO CLIP)

BARACK OBAMA, PRESIDENT OF THE UNITED STATES: Four years ago I said I'd end the war in Iraq, I did. I said we're going to wind down the war in Afghanistan, we are. And while a twin tower, a new -- while a new tower rises above the New York skyline, al Qaeda is on the path to defeat and Osama bin Laden is dead.

(END VIDEO CLIP)

O'REILLY: But according to the American commander in Afghanistan, al Qaeda fighters are again causing trouble in that forlorn country and the terror group might even be responsible for murdering Ambassador Stevens.

"Talking Points" believes that many voters are still persuadable. And that support for the President is thin among some Independents. A recent Rasmussen poll says just 42 percent of those backing the President are locked in stone. That gives the Governor some room tomorrow night. But he needs to be surgical in making his points.

And that's "The Memo."

— You can catch Bill O'Reilly's "Talking Points Memo" weeknights at 8 and 11 p.m. ET on the Fox News Channel and any time on foxnews.com/oreilly. Send your comments to: oreilly@foxnews.com.