Obama has now emphasized that he only embraced the rights of the proponents of the mosque -- rather than the wisdom of the project:
President Obama said on Saturday that in defending the right of Muslims to build a community center and mosque near Ground Zero he was “not commenting on the wisdom” of that particular project, but rather trying to uphold the broader principle that government should treat “everyone equal, regardless” of religion.For what it is worth, Dissenting Justice anticipated this distinction and described Obama's position as follows: "Obama strongly endorsed the rights of the individuals who want to build the mosque" (italics added).
Also on Dissenting Justice:
Media Continues to Misstate Obama's Position on Mosque.
Sarah Palin's Two-Faced Arguments Regarding "Ground Zero Mosque"