Of course, the US was humiliated *before* the manhunt, when he leaked the info exposing NSA spying. This was a debate no one in the government wanted, and now they must face up to it. The ongoing manhunt is just more icing on the cake. Hopefully some good will come out of all this.
Yes, it shows how hypocritical American government is to its people. Government officials will say that they support freedom of individuals, but behind people's back, they are spying. People around the world, learning this because of Snowden, will believe that America is hypocritical. It's as if all the country doesn't care.
They know exactly where he is. It's all intentional. Think about it. A man gains public support, so how to get rid of him? Tell everyone that you can't find him. That he is harbored in countries that are enemies of the U.S., while he is actually sitting in a dark cell somewhere being told to shut up when asked for a lawyer. You see, we got a glimpse of how powerful the U.S intelligence is, so the screw something up, have everyone focus on that, and presto! Nobody cares about the violation of rights anymore.