making news this morning, still shaky. >> stock markets in the u.s. and around the world not reacting well to the deficit solution. a twister over tropical florida. a rare and pretty ominous sight, the first big storm. >> close call, a police officer nearly hit by a speeding car, the crook never suspecting what the officer did next. good morning, everyone. i'm tanya rivero. >nd i'm rob nelson. the u.s. congress may have agreed on the debt deal but did it come too late. >> this morning stock markets are falling around the world. japan and hong kong down more than 2% because of pessimism over the u.s. economy.

>> can anyone in washington turn things around. abc's scott goldberg joins us live with all the fallout. >> reporter: good morning.g. we've been reporting that not many people seemed happy with this debt deal. now it looks like financial markets aren't very happy either. the asian markets are down today and wall street is struggling g over concerns this deal won't help the u.s. economy. with the debt ceiling lifted but the economy still in a rut, president obama wants to talk about jobs, something he considers a real problem. >> our economy didn't need washington to come along with a manufacturing crisis to make things worse. >> reporter: as soon as he signed the deal in the oval office, the stock market tanked. the dow lost 265 points and now is in the middle of its longest losing streak since the height of the financial crisis in 2008. >> the same day that we got the debt ceiling taken care of we had major economicumbers come out which showed that the u.s. economy was weakening.

>> reporter: the problems, consumer spending and economic growth, both sliliing and investors are worried a jobs report coming out friday won't help. >> enough talk about the debt. we have to talk about jobs. >> reporter: leaders of both political pears say they're worried too. >> well, obviously the biggest concern the american people have is jobs and the economy. >> reporter: but they differ sharply on the next step and now with the next phase of the debt deal required to focus on more ways to cut the deficit, any outcome that raises taxes will kill jobs. democrats say you can't create jobs if you just keep cutting spending and so it would seem the same fight is about to be played out all over again. and it looks like all of this is taking a toll on the president's popularity. a new poll in p pnsylvania puts him behind the republican presidential front-runner mitt romney by two points. that is within the margin of error but president obama won that important swing state by ten points in 2008.

tanya. >> scott, thank you. both the house and senate are now basically on summer recess which means the faa will be in limbo until next month. the agency's partial shutdown means the government is losing $25 million a day air airline ticket taxes. nearly 4,000 faa employees have been furloughed and over 200 airport construction projects are now on hold putting some 80,000 people out of work. as if the white house staff didn't have enough to deal with a homeless man is in custody this morning charged with climbing the fence around the white house. the secret service says the man is a repeat offender who had been order by a judge to stay away from the white house complex. they say such intrusions though are really not that unusual. , millions of happen about once well, millions of floridians are watching the tropics this morning and may get a break from the latest storm system. >> it was a rare tornado that captured the region's attention yesterday. residents captured the dark funnel cloud on their cell phone

cameras hovering ominously above homes as it tore through several towns in broward county late yesterday afternoon ripping off shingles and entire rooftops. >> dozens of homes were damaged. at least one house was deemed n uninhabitable after the whole living room was wiped out. even hot tubs were tossed about. on top of that cars and trucks took quite a beating and giant trees uprooted. power knocked out. >> as rob mentioned tropical storm emily is no longer expected to hit florida but will batter haiti and the dominican republic. puerto rico was spared. winds picked up to 50 miles per hour. 600,000 haitian earthquake victims remain without shelter. it could brush past the carolinas and outer banks this weekend. >> that heat dome is not letting up across the southern part of the country. heat warnings and watches are in effect in 14 states from kansas

to georgia. abc's abbie boudreau is struggling to stay cool down in that is. >> reporter: in a city paralyzed by 32 consecutive 100-degree days, there's at least one business that is booming. you are basically the only person in texas who loves this heat. >> that's right. the ice man loves the heat. >> reporter: emergency ice companies bagged 100 tons of ice a day, its production up 40% from last year. >> we market towards the restaurants. we're renting a lot of trucks and doubled up on staff to meet the demand. >> reporter: the problem is the water from the faucet is so hot that icemakers at restaurants are unable to make ice. the tap water here, 90 degrees. the relentless heat is taking a toll on this beleaguered city. already 12 deaths in dallas this summer alone. more than all of last year. and in a state where to some football is religion, high school players battle the scorching heat to practice twice

a day. so your day started at 87 degrees. probably felt like what? >> 100. >> felt like 100. >> reporter: now you're ending your day at 99 degrees and what does it feeee like. >> 200. >> reporter: 200. the heat is leaving its mark everywhere. railroad tracks are warping raising the risk of derailment. this texas lake turned blood red, not a sign of the end of the world but drought leaving behind stagnant water and hundreds of dead fish. and by far the most bizarre discovery found in a lake bed here, four feet across a remnant of the space shuttle "columbia" from the disaster in 2003. these hot temperatures are expected to continue to climb and the forecast for later this week, even hotter. abbie boudreau, abc news. no rest for the weary in dallas, man, more than a month of the hot stuff. let's take a look at some of today's eye-popping numbers. 108 in dallas today.

95 in new orleans and a record tying 99 in hotlanta, 86 here in new york. 76 in boston. mostly 80s across the midwest, phoenix sizzling at 111. boise, 93. seattle, 77. >> and drenching monsoon rain and flooding in the west from albuquerque to denver and salt lake city. showers and thunderstorms around louisville, indianapolis, cleveland and pittsburgh. evening storms from d.c. to philadelphia, new york and boston. scattered afternoon thunderstorms in florida. and next on this wednesday morning, one economic bright spot, a stellar summer for american automakers. >> new details this morning in the nationwide salmonella scare involving tainted ground turkey. and how is your morning brew? "consumer reports" weighs in on the best supermarket coffee. icic

as we mentioned at the top of the news cast, markets are down overseas and in the u.s. after president obama signed the law to raise the deb limits. moody's investors said the u.s. will keep its top level bond raying but they added a negative outlook saying the rating could be downgraded down the road. if that does happen interest rates would likely go up significantly across the board. asian markets are reacting to the news from the u.s. tokyo's nikkei average losing more than 200 points today. hong kong's hang seng is down sharply in late trading and in london, the ftse opened lower. on wall street a number of poor

economic reports made investors pretty nervous. the dow lost 265 points. the nasdaq index dropped 75 points. and oil prices dropped for a fourth straight day down to about $93 a barrel in trading in new york. it's a sign that investors expect the u.s. economy to slow down and bring down fuel demand with it. however, this could also mean lower gas prices. and there are new clues this morning in the salmonella outbreak linked to tainted ground turkey. this morning's "new york times" reports that the meat processing company cargill has been contacted by the government in connection with the case. one california man has died. dozens of others have gotten sick from the salmonella. the big three u.s. automakers had a strong july thanks to better than expected demand for cars and light trucks. chrysler's sales were up 20% compared to july of last year. ford's sales were up nearly 9%. general motors were up about 7.5%. chrysler saw a large jump in sales to individual consumers

too. well, every coffee drinker has their opinion about who makes the best cup of joe and "consumer reports" is chiming in. the magazine did a taste test of widely available brands. gloria jean's and newman's own tied for first with very good rating, among the most expensive costing well over $13 a pound. >> you get what you pay for. we know about coffee on this shift. >> we're connoisseurs over here. >> yes, indeed. when we come back the latest animal on the loose in new york city. then shocking dash cam video of an officer's extremely close call. you won't believe what he did next. disturbing new videos by the couple who kept jaycee dugard captive for 18 years. my whole body hurt. it was an ongoing, deep p in. i didn't understand it. i found out that connected to our muscles are nerves that send messages through the body. my doctor diagnosed it as fibromyalgia --

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apartment building here in new york. it's been there since yesterday after flying the coop at the central park zoo which is right across the street. they do expect it to return when it gets hungry. >> looks pretty comfortable, i've got to say. a look at morning road conditions flooding on i-70 from st. louis to pittsburgh and i-64 from louisville to charleston, west virginia. wet on i-10 along the gulf coast and on 95 and 75 in florida. drenching downpours in the d i-10, 15, 25 and 40. >> and if you're flying, airport delays are possible in salt lake city, denver, kansas city, washington, d.c., new york and philly. disturbing new videos have been released in connection with the case of phillip and nancy garrido. they are the california couple who kidnapped and held jaycee dugard for 18 years. >> the videos were released along with a report blasting the state parole board for its failures in the case. here's abc's david wright. >> reporter: the chilling videotape is from the backseat of nancy garrido's van as she

coaxes a young girl to demonstrate gymnastics. >> that's it. can you go all the way down? >> yes. >> let me see. i bet you can go down really easy, huh? >> yeah. >> reporter: that video was taken less than a week after convicted child rapist phillip garrido got out of jail for violating his parole. jaycee lee dugard was already a prisoner in the couple's backyard for two years but no one in the parole system noticed. >> how many instances are we talking about, you getting the kids in the van? are we talking less than 20? more than 20? >> it's got to be less than 20. >> reporter: abc's chris cuomo tracked down some of the parole officers for answers. >> mr. messner, we just want to ask you a question. >> reporter: they didn't have de the d.a. issued a blistering report urging changes in the law to require california parole boards to give as much weight to a sexual offender's original crime as they do to any

evidence of rehabilitation. >> phil garrido proves very poignant poignantly he's able to fool psychologists and psychiatrists again and again. >> reporter: as jaycee lee dugard told diane sawyer -- >> who knows how many oversights are happening and how many things that they're not seeing. >> reporter: not seeing even when it's happening right in plain sight. david wright, abc news, los angeles. jujurs will hear more graphic evidence today in the sexual assault trial of polygamist leader warren jeffs. audio recordings of jeffs to instructing young women and girls on how to sexually please him. he goes on to tell them it's a way to win favor from god. jeffs objected several times to the recordings being played but was overruled. the prosecution is expected to wrap up today. and the contentious lockout that is threaten iing the upcoming nba season is threatening to send players overseas.

it seems more and more are considering to go overseas to play while the situation back home drags on. the commissioner david stern does not support their doing so and says they could jeopardize their nba contracts if they were injured. and now for this morning's somewhat heated baseball highlights, we get those from espn news. good morning. cole wright here with your espn news update. and let's go to milwaukee where things were getting hot in the national league central. cardinals/brewers, top seven, cards down 1, albert pujols hit. he would be okay, however, but this game would definitely see tempers flare. bottom temp seven, ryan braun facing motte. goes inside and just misses him. braun not too pleased. next pitch, motte didn't miss on this one. drills braun in the shoulder blade. both sides are warned but no ejections. tony la russo says, i have to take my glasses off for this one. top of the ten, game tied. molina at the plate. calls third strike.

him and the home plate umpire would exchange words. where are you going to dinner at? not where you're going. want to meet up later? probably not. molina bumped him a few times. he's going to get a vacation. let's just say that. top 11 now, runner on second, two outs for lance berkman, boots this one into left. matt holliday scores, berkman player of the game, 8-7, cardinals win, closing the gap. tim lincecum and the giants taking on the d'backs with a one-run lead. d'backs down 1. paul goldschmidt, deep and gone to left center field off big time timmy tim. the first of his career. get him that ball. they still cling to a one-run lead. top of the eighth, upton getting up there. 22nd of the year, d'backs make it a 6-1 "w." that'll do it for us. i'm cole wright but don't forget, for the latest on the sports scene, tune in to the highlight express. a dramatic clash betweenenhe cops and a crook and all of it

caug on tape by a dash cam. >> two british police officers tried to use their patrol car as a roadblock to stop a man in a stolen bmw but as you can see there, the driver plowed into their car knocking one of them right off his feet. he gave chase and tasered the suspect. now, that's when the adrenaline wore off, and the officer collapsed, but he is doing o ok. >> that's impressive, man. >> that is a cop for you. >> that's focus, man. >> dedication to your job. >we also this morning have this video from lithuania. it's been making the rounds. it shows a town's mayor taking a very tough stance on illegally parked cars. he is shown running over a mercedes, yep, with that giant tank, and it looks like it's left over from the soviet era but a spokesman said the luxury car was brought in especially for the photo shoot. >> looks like he had a lot of fun doing that too. having a great time. all right. up next, what's next for that huge piece of the space shuttle "columbia" just found in

texas? also, breaking news on this wednesday morning, egypt's former leader wheeled into court on a gurney. details on that coming right up. this is not a prescription. this is kate. [ kate ] can't believe i have high blood pressure. what's that thing? ananher medication. ♪ i really should have taken my shoes off before i got weighed. [ female announcer ] you've got a lot on your mind. that's why every walgreens prescription goes through a 10 point safeguard check that reviews your current walgreens health record for allergies and potentially harmful drug interactions. [ kate ] i can do this. [ female announcer ] the 10 point safeguard check from walgreens. there's a way to stay well. this flat-out delicious -- the new $3 flatbread breakfast combo. a toasty 6-inch flatbread breakfast sasawich and a 16-ounce cup of freshly brewed seattle's best coffee. all for just $3. build your better breakfast today. i don't even know anymore. [ tapping ] well, know this -- for a good deal on car insurance,

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it's the first time a modern mideast leader has been put on trial by his own people. and it will be quieter on capitol hill now that both houses have recessed until after labor day. the senate adjourned without passing an faa funding bill leaving 4,000 people out of work. several senators plan a news conference to discuss it today. president obama flies to chicago later for a gala fund-raising event to mark his 50th birthday. donors are expected to pay about $35,000 a ticket to rub elbows with the president. his actual birthday is tomorrow. people in several south florida towns have a big cleanup job on their hands after getting slammed by a rare tornado. residents captured the twister on their cell phones as it touched down in broward county late yesterday afternoon damaging dozens of homes, cars and trees. nasa is making plans to retrieve this piece of the shuttle "columbia" revealed when a texas lake dried up. the space agency says the object

was aboard "columbia" when it crashed eight years ago. >> more news coming up. anyone with high cholesterol may be at increased risk of heart attack. diet and exercise weren't enough for me. i stopped kidding myself. i've been eating healthier, exercising more, and now i'm also taking lipitor. if you've been kidding yourself about high cholesterol...stop. 80% of people who have had heart attacks have high cholesterol. lipitor is a cholesterol lowering medication, fda approved to reduce the risk of heart attack and stroke in patients who have heart disease or risk factors for heart disease. [ female announcer ] pitor is not for everyone, including people with liver problems and women who are nursing, pregnant or may become pregnant. you need simple blood tests to check for liver problems. tell your doctor if you are taking other medications or if you have any muscle pain or weakness. this may be a sign of a rare but serious side effect. great ride down. if you have high cholesterol, you may be at increased risk of heart attack and stroke. don't kid yourself. talk to your doctor about your risk and about lipitor.

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next on abc7 news -- tainted turkey claims a life in northern california. while investigators are having trouble tracking down the source. and the chilling video showing a little girl being taken in the back of a van. phillip garrido. the hearing to hope it never happens again. mike nicco has the forecast. >> the clouds are thicker. a cooling trend on the way. more drizzle in the forecast. i'll tell you when it and finally this morning, the late night comedians on the finer points of washington's deficit agreement. >> but they say we avoided economic disaster. economic disaster. whew!

so now we're $16 trillion in debt. that's not economic disaster? come on! what are you -- >> now that it's done, all americans are breathing a sigh of relief because it may have been a painful, drawn out process, but at least the economy is saved. >> the dow today down 265 points on the day. >> what? folks, this is what happens when you give the republicans only 98% of what they want. >> all the fighting in congress has made for an intense few weeks, although the makeup sex tonight is going to be amazing. >> just look how this defeat has broken harry reid. >> i am home in nevada. i haven't seen in months my pomegranate trees. i'm told they're blossoming and

pomegranates on them and fig trees and roses that i just haven't seen. >> oh, my god. how is obama going to tell harry reid that he also gave the republicans his pomegranate trees? >> the economy is so bad, remember when president reagan called america a shining city on a hill. we're now a homeless camp under a bridge. that's how badad -- the economys so bad, nobody snuck in from mexico today. nobody. the economy is so bad, everybody on "sesame street" is living in a trash can. that's how bad it is. >> the new debt ceiling thing is going to affect us all, and in washington those effects are already in place. do you know what i'm talking about? well, look at this. see, look. abe lincoln. >> those poor pomegranate trees. >> i know. whatever is he going to do without them? >> thanks for watching, everyone. have a good one.