I'm on the 'Posts' tab 'List' subtab and I've selected blog #1. I have a column called "blogs" and in it I see which blog the post is part of, but I also see "Object" preceding the blog name. For example if my blog's name was MyBlog I get "ObjectMyBlog" with the MyBlog portion linked to listing only the posts in that blog.
I've merged the fix for this from CVS HEAD to v-1-8, so it will be fixed in 1.8.1.