Index: Lib/traceback.py
===================================================================
--- Lib/traceback.py	(revision 66037)
+++ Lib/traceback.py	(working copy)
@@ -190,7 +190,7 @@
         if badline is not None:
             lines.append('    %s\n' % badline.strip())
             if offset is not None:
-                caretspace = badline[:offset].lstrip()
+                caretspace = badline.rstrip('\n')[:offset].lstrip()
                 # non-space whitespace (likes tabs) must be kept for alignment
                 caretspace = ((c.isspace() and c or ' ') for c in caretspace)
                 # only three spaces to account for offset1 == pos 0