Aide says demoted chief strategist may not have the title but he's still acting the part, joining in campaign's morning call and involved in prepping for upcoming debate.
Plus: Top Obama adviser David Axelrod calls Penn's ouster "stunning" on MSNBC's "Morning Joe," says economics adviser Goolsbee conferring with Canadians on NAFTA was "far more innocent than this." Watch video here.
Also insists Obama has not distorted McCain's "100 years in Iraq" comment-- but this YouTube apparently contradicts his claim.
Read statement announcing Penn's departure, and read reaction here.
Asked about weekend British press reports suggesting Gordon Brown was going to hire Penn for advice, a Downing Street official responded succinctly to TIME: “Codswallop.”
