making news this morning, money meltdown. >> the dow's 500-point sell-off sending shock waves around the globe. investor wealth disappearing as markets plunged today. and all of this is putting pressure on washington. the conductor of the global economy, do something. >> plus, expert advice on what to do with your money and why some people want to blame the market mess on the smurfs. good morning, everyone. i'm tanya rivero. >> and i'm daniel sieberg. a punishing thursday is rippling around the world on this friday morning. overseas stock markets taking a beating already. >> take a look at this. every major exchange is lower, some by as much as 5% including important u.s. trading partners like japan and south korea. we'll get a live update from tokyo in just a minute.

and the pain on wall street may even get worse today. we're expecting another dismal u.s. jobs report in just a few hours. expected to show no change in the unemployment rate, currently 9.2%, and our coverage begins with abc's scott goldberg. >> reporter: if you thought the economy was in the clear after washington passed the debt deal -- >> i got 75,000. >> reporter: -- welcome to wall street where the dow suffered its biggest one-day loss since the height of the economic crisis, and the stock market has now given everything it gained this year. >> there isn't much washington can do right now, and even if there was, there isn't much trust they would do the right thing. >> reporter: it's not just the u.s. this tumble started overseas over fears italy and spain might default along with grease continuing in asia where markets lost between 2% and 5% already today. it could add up to a dreaded double-dip recession. >> i think investors in general are just very worried that we'rs headed for recession and they

want to get out while the getting is good. >> reporter: the hits keep coming. manufacturing fell last month. consumer spending dropped for the first time in almost a year and then there's the job market. >> even when there are jobs, people can't -- they're willing to relocate to get those jobs but they can't do that because they can't sell their homes. problems seem to be compounded all the time in this environment. >> reporter: still, experts say hang tight. >> don't panic sell unless you have to raise cash. some of these stocks will come back. >> reporter: but for the time being, the markets are bracing for more bad news. as you noted, guys, that unemployment rate, the jobs report, is coming out around 8:30 this morning, and economists are predicting it will be do very little to improve this country's unemployment rate. tanya and daniel. >> it could go from bad to worse. all right. scott goldberg in wawaington, thank you so much. in this global economy when one major market gets a cold, the whole world feels it. that's certainly true this morning. >> indeed, let's check in what

abc's akiko fujita in our tokyo newsroom. akiko, how bad is it there? >> reporter: good morning, daniel. it has been a dismal day as markeke hit a five-month low. tokyo, the nikkei closed down 3.72%. in hong kong the hang seng closed down as much as 5%. and the big concern out here for japanese markets is that surging yen, the japanese currency inching up to a record high. earlier this week that prompted the japanese government to step in and intervene yesterday. we saw temporary relief but it is going back up today and that is really bad news for exporters in what is a very export-driven economy. daniel? >> akiko, what does this mean for u.s. consumers? >> reporter: well, it's going to make product that is are made in japan a lot more expensive for americans to buy. you know, you think of a tv that cost 1,200 a month ago, well, now you'll have to pay an extra

$100. the overall picture, the yen has surged 10% or more than 10% so that's a huge increase and it's no wonder the exporters out here in japan are struggling so much. >> akiko fujita, live in tokyo, thank you. the stock sell-off is sending shock waves into other markets. not all bad news for consumers. investors were so spooked the price of gold dropped more than $7 an ounce. it's risen consistently for years with investors looking for a safe bet. mortgage rates reached a eight-month low and oil prices dropped more than $5 to 86.63 a barrel. that could mean lower gas prices. so coming up, is it time to sell, sell, sell? well, we'll have some expert advice in about ten minutes and "gma" is live at the new york stock exchange for more insight into what the market drop means to you. >> and as we learned today, that america's unemployment rate likely remains the same, a surprise deal from washington is putting thousands of people back to work. senate leader harry reid brokered the deal to end the

partial shutdown of the faa saying it would put 74,000 transportation and construction workers back to work. president obama is praising both parties for working together to end the shutdown. >> moving on from economy news now for a moment. as one syrian put it, people are being, quote, slaughtered like sheep. up to 2,000 people have been killed by their own government in syria after five days of uprisings there. families are burying their dead at home rather than risk a trip to the cemetery, and they're running out of bread and medicines. the u.s. has turned up the financial pressure on president assad and his inner circle in an effort to stop the killings. and in the caribbean the remnants of tropical storm emily are still dumping heavy rain this morning. emily broke apart after hitting haiti and the dominican republic yesterday. hundreds of homes were flooded in h hti where more than 500,000 are still living in tents. the system could regain strength tomorrow and bring heavy rain to southeast florida.

national forecasters have upgraded their hurricane season outlook thanks to exceptionally high ocean temperatures. they're now predicting a busier season with up to 19 named tropical storms. they expect as many as ten of those to become hurricanes and up to five major hurricanes. >> yeah, reaching the peak of the hurricane season. >> we are, indeed. all right. well, now for this morning's weather from around the nation. hail, gusty winds and flash flooding from memphis to the carolinas. stormy in the dakotas and montana with even more powerful winds and a chance of tornadoes. thunderstorms and showers around minneapolis, kansas city, des moines and chicago. heavy rain in the four corners of the southwest. >> 109 in phoenix. 91 in albuquerque and 88 in salt lake city. dallas heats up to 105. omaha, 82, detroit, 86, but it is cooler in the northeast with 74 in boston and 82 here in new york. >> 82 sounds rather nice. >> it certainly does.

>> all right. well, still ahead, we're tracking overseas stock, plus expert advice on how to keep your money safe in this volatile market. also, his followers believe he's a prophet but now a court says he's a pedophile. what's next for warren jeffs? and this day didn't go their way exactly. trouble for these two window washers.

welcome back. the penalty phase of warren jeffs' trial resumes.

the polygamist sect leader was found guilty of sexually assaulting two young girls s h had taken as his wife. diana alvear has more. >> reporter: it took a texas jury only a few hours to convict warren jeffs of sexually assaulting two young girls. >> i think there's a whole lot more victims in this than the two that came out in this trial and i think that justice was served. >> reporter: the cult leader's closing argument consisted of 30 minutes of silence. in contrast prosecutors gave a dramatic closing argument urging the jury to convict jeffs of sexually assaulting a 15-year-old and 12-year-old. girls he took as teen brides. wednesday jurors heard an audio recording of jeffs allegedly having sex with the 12-year-old. he can be heard telling her, you shall learn the powers of the spirit of god as a heavenly wife should. jeffs' defense, he insisted he's being persecutedor his

religious beliefs. this is a peaceful people, he said. government intent is to break up families because of prejudicial ideas. >> if anyone of a religious background comes to texas and assaults young girls they'll be prosecut prosecuted. >> reporter: he was found guilty in a court of law. diana alvear, abc news, los angeles. authorities around virginia tech were taking no chances after reports of an armed man on campus. they locked down the whole school and told everyone to stay indoors after searching the school's ground in 150 buildings, they gave the all clear. it was the longest lockdown since a rampage that left 33 dead. police say they have a serial slasher on the loose and released this video showing a man they suspect of slashing at least six young women since february. all the incidents took place while the victims were shopping.

police say the suspect is hispanic, in his late 20s is and about 5'6" tall. we'll have more on "good morning america." all right. next on this friday morning, why some people are blaming the smurfs for the stock market mess. surely it's gargamel and not the smurfs. plus, answers on what to do with your mother. >> a new eruption in hawaii. small ways to be more healthy.r like new splenda® essentials™ no calorie sweeteners. this bowl of strawberries is loaded with vitamin c. and now, b vitamins to boot. ccfee doesn't have fiber. unless you want it to. new splenda® essentials™ are the first and only line of sweeteners with a small boost of fiber, or antioxidants, or b vitamins in every packet. mmm. same great taste with an added "way to go, me" feeling. new splenda® essentials™. get more out of what you put in. i love the fact that quicken loans provides va loans.

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cheyenne to des moines and i-10 along much of the gulf coast and south. if you're flying airport delays are possible in memphis, atlanta, and charlotte. returning to our top story, the dow's 512-point drop being repeated around the world as investors worry about a double-dip recession. >> asian markets followed wall street follalling to a five-mon many low. >> abc's bill weir gets answers to questions we're all asking. >> reporter: who's to blamam some on twitter want to pit it on the smurfs. after all the dow jones is down more than 550 points since they rang the bell. there's a lot more legitimate anger aimed at the cartoon characters in washington. after political mud wrestling america came been ten hours of proving to the world it can no longer pay its bills. >> there isn't much washington can do.

even if there was there isn't much trust. >> reporter: we can aim an eye at the italians and greeks. if started when the european markets lost faith that there is any fix for it. some guy in athens dodges his taxes and you get scalped. such is life in our ever more connected world so with so much bloom around the globe, is it time to sell, sell, sell? well, all the money men and womemewe heard from tonight say, not yet. >> a snap-back seems more likely, could be in the cards. definitely at a lower level after this hit but you know what, eighth a snap-back. >> reporter: just about everything was down today, commodity, oil, even gold which means today's dump was first driven by short-term investors out to make a quick buck on bad news then accelerated by everyone else looking to get out of stocks and stick some cash in the mattress. apple, mcdonald's, walmart and

some believe corrections like this are the best time for smart investors to find some bargains and make some money but all agree that we are in for a rough ride. ride. but could it be so bad we're doomed for a double-dip recession? i. >> i think the risk of it has gone up. >> people are worried about a double-dip recession. i don't think that's going to happen. >> reporter: the gririingly slow recovery got slower in april and may and went backwards in june though average folks have more savings, stores are busier and gasrices are dropping, the using market is still brutal and unemployment continues to hang like a cement block around america's neck. >> even when there are jobs, people can't -- they're willing to relocate to get them but can't do that because they can't sell their homes. >> make sure you have enough y volatility will continue for awhile. second, don't panic sell unless you have to raise cash. some of these stocks will come

back. >> and abc news will be on top of this story throughout the day and we've assembled morst peopls smartest people in the business to offer their best advice coming up on "good morning america." well, this could be the beginning of a return to public life for arnold schwarzenegger. he was greeted with a standing ovation before a business group in los angeles last night. it was his first speech since confirming in may that he fathered a child with a household maid. during the ten-minute speech schwarzenegger joked about running for president in 2012. president of a bodybuilding association. and check out some spectacular hawaii. a new lava flow has broken out of the kilauea volcano. it's been flowing since wednesday and is taking place in an area that was active in march. the scorching hot lava isn't a risk to anyone but it sure is cool to look at >> certainly >> certainly is. > d now toto sports. the yankees and red sox renew baseball's'siercest rivalry this weekend. they're tied for first in the

american league east. as for tiger woods, here's adnan virk at espn news. >> good morning. it was the return of tiger woods to a golf course that we haven't seen since may. woods in a tune-up at the bridgestone invitational from akron, ohio, paired with his goododriend darren clarke. even after a bad chip on the 3rd difficult 17-foot par putt. he would save par quite a few times. 9th hole, another long par putt. buries the 20-footer. tiger was even steven through nine, no birdie, no bogeys. tiger's second shot from the fairway, vintage woods. he puts it within five feet. great shot. so tiger will bury the easy birdie putt and that's his first birdie since the last round of the masters. hallelujah. now 1 under for the day. 14th hole from the greenside bunker. risky shot and just misses it.

body language will tell you everything there. only boeing -- he said afterwards i smoked it. certainly did. out of the rough and on the fairway, a good-looking shot as the leg looks fine. is key according to andy north, espn golf analyst and look at that 30-foot birdie putt. clutch work from tiger. he finished at 2 under 68. still has soso work to do in terms of contention. don't forget for all your highlights join us on the highlight express on espn news. up next a famed serial killer has been dead for decades. what is the fbi doing with his dna today. >> the rescued chilean miners about to be honored at the smithsonian. [ female announcer ] you do so much... to stay healthy. but did you know fiber choice

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thank you! ♪ phew! [ ernie ] we make our cookies the way only keebler elves cann with a little something extra. so every bite can be uncommonly good. now a look ahead at the stories we'll be watching this friday. following the worldwide stock sell-off i iestors will be watching the monthly jobs report. analysts expect the unemployment rateteo stay at 9.2%. the economy adding 90,000 jobs. that's not nearly enough to bring the unemployment rate down. also today, the u.s. will be looking to confirm reports overnight that one of libyan leader moammar gadhafi's sons has been killele in a nato air strike. it would be a significant development because gadhafi's son leads the special forces unit that's been vital for

gadhafi as he tries to hold on to power. newly discovered dna from serial killer ted bundy is entered into a national database. investigators are hoping to genetically link bundy to a number of unsolved murders involving young women over the past decades. a smithsonian exhibit on the chilean miners opens a year after their mining accident trapped 33 men for 69 days. some the rescued miners got a firsthand look at the capsule that pulled them to the surface and other items marking their ordeal. nearly half of the miners are now unemployed. a new mission for nasa launching a solar powered spacecraft to jupiter. it's not expected to arrive until july 4th, 2016. after all, it is a 900 million-mile journey. >> imagine all miles miles you would get for that. >> a long way. for some of you, local news is next. for everyone else, how the white house takes a toll on our presidents.

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next on abc7 news -- a hit-and-run driver leaves a 9-year-old boy fighting for his life in san francisco. the break that police say has now led to an arrest. market madness. the global fall-out from yesterday's huge selloff on wall street and what can bring repeat performance today. lisa argen has the forecast. >> again, mist and drizzle greeting you this morning. we'll see more sunshine. but still, the temperatures will they be cooler than average over the weekend? finally, the president just celebrated the big 5-0 but the way of the free world is evidently taking a bust a toll. >> mr. obama is sporting a lot more gray these days and as

abc's john donvan tells us he's not the first president to see the clock tick so quickly. >> reporter: the worst drop in the dow since 2008, a government that came this close to facing default. >> we are almost out of time. >> reporter: and as a result, poll numbers lower than they've ever been. so let's just say -- ♪ happy birthday to you >> reporter: happy birthday, mr. president. not just that, it's number 50. and so all day the inevitable comparison, oh, look how young he was back then. and, oh, just look at him now. then, now. then, now. >> many of you knew me before i had gray hair. >> reporter: so that gets a little laugh but this gets a big ugh. >> mr. president, look at your hair. if your gets any whiter, the tea party is going to endorse it. >> reporter: the office does seem to age its occupants quickly. lincoln going in and shortly

before his death at 56 four years and look at the change. fdr going in and then at the end and, yes, it was 12 years but he was only 63 years old. so ronald reagan starting out looking like this left after his two terms, calendar 7 but an accelerated age of 85. george w. bush, add two terms, calendar 62 but age accelerated, 70. >> what they have that they don't take care of well is stress. >> reporter: so there he is running on youth back in the old days, america's fifth youngest president, well, he turns 50 but really 55. and with what he'll still be facing, you can add two days. john donvan, abc news, washington. >> the good news i guess in recent memory a lot of presidents are at leasas living into their later year, 70s so recover after they get out of office. >> that's true. might consider hair dye. you never know >> that's whatak