Lots of people seem to have an issue with the post order when using the AW blog extension on Magento.

Here’s a way to change the sort order so your latest post shows up first.

In /app/code/community/AW/Blog/Block/Product Toolbar.php

Look at Line 77 and change
return ‘asc’;
TO
return ‘desc’;

That did it for us.

Magento 1.7.0.2 and AW Blog 1.2.2

Good Luck