on the broadcast tonight, out of nowhere. a surprise decision to release millions of gallons of oil from the u.s. reserve. but what's the emergency and why now? and river rising. we can see why thousands are on the run from an american city. where there's lots of water on the way. most wanted. a notorious mobster on the for 16 years. the inspiration for a hollywood film, now it's all over, an incredible story has come to an end. in the spotlight, we have seen and heard from the obama

girls this week like never before. tonight a special conversation with their mother, the first lady. also tonight, making a difference for america's troops and their families here on the home front. home front. "nightly news" begins now. captions paid for by nbc-universal television good evening. this came out of nowhere. the word this morning that the u.s. is opening up the flow of 30 million barrels of oil over the next 30 days from a supply we keep for a rainy day, a national emergency, called the strategic petroleum reserve. 27 other countries are kicking in an equal amount, so that's 60 million barrels in all. the white house at first pinned this on the civil war in libya, then it became clear it's an attempt to bring down gas prices for the summer driving season and do what they can to help an economy that just won't move off the dime anywhere else. it's where we begin tonight with nbc's tom costello just outside washington. tom, good evening. >> reporter: this will mean that

prices at the pump will surely be coming down. you know, higher fuel prices have been a huge drag on the economy. the obama administration is hoping that by pushing prices lower, they can give the economy a much needed kick start. the move caught the world's oil traders and wall street by surprise. in a coordinated global move, the obama white house announced it will release 30 million barrels of oil from the strategic petroleum reserves, while another 30 million barrels also come from other countries to make up for the oil that's come off the market in the libyan war. immediately the price for a barrel began sliding, closing the day down more than $4 to just over $91. and well below the $115 peak on may 2. in london it fell even more. with interest rates already near zero, analysts call it a hail mary pass to kick start the economy. >> by flooding the global market with more oil, it's an act of desperation because there's

no place else to turn to try to revive the economy. >> reporter: the u.s. strategic petroleum reserves are buried in heavily fortified salt caverns in the mideast. the u.s. holds some 727 million barrels of oil. taking 30 million barrels out will still leave 697 million barrels. on capitol hill, democrats applauded. >> dipping into our strategic reserve will protect american consumers and businesses. >> reporter: but in a statement, republican house speaker john boehner said this threatens our ability to respond to a genuine national security crisis. the national average of unleaded has already dropped from $3.98 on may 4, to $3.62 a gallon today. now experts say the price could drop another 10 to 15 cents a gallon, giving more money back to consumers and businesses. by releasing 2 million barrels a

day for 30 days and suggesting it could do so again and again, one effect has been to drive speculators out of the market. speculate fors of course who helped drive up the price of oil. >> this was a head turner today, for more on what went into it, we go to david gregory moderator of "meet the press" from our washington bureau. the war, katrina, they were emergencies, back when they said they were going to do this because of the economy, they didn't. you have been asking about this on "meet the press" and then comes word today. >> the president back in march said this is on the table but we don't think it's enough of a disruption. now they're saying quite the opposite. i talked to white house officials today, they're saying, you're talking katrina, you're talking about three times more of a disruption in terms of the oil market because of libya right now. this isn't just politics, they told me today, there's 28 total countries involved here. but they don't shy away from one point and that is they

definitely want to have an impact on the biggest driving season. july 4, a lot of summer driving. >> david gregory from the washington bureau tonight, big news on the oil market. last night president obama spelled out his plan for withdrawing 33,000 u.s. troops from afghanistan, bringing them home by next summer. today the president wasted no time. he hit the road to sell this plan, while back in washington, some of america's military brass weighed in on what they think of it. more tonight from our pentagon correspondent jim miklaszewski. >> at ease, everybody. >> reporter: president obama took his new strategy today to the army's 10th mountain division at ft. drum, new york. the division which led the surge of 33,000 additional forces into afghanistan. the president tried to assure these soldiers that his plan to now begin withdrawing u.s. troops would not put them or the gains they fought for at additional risk.

>> all of you who are potentially going to be redeployed, just know that your commander in chief has your back. >> reporter: but in dramatic testimony on capitol hill, two of the military's top officers made it clear they had argued that the president's plan was too risky. >> what i can tell you is the president's decisions are more aggressive and incur more risks than i was originally prepared to accept. >> reporter: president obama has ordered that 10,000 u.s. forces come out of afghanistan by the end of this year. and that an additional 23,000 be withdrawn by september of next year, before the end of that fighting season. as the top commander of the war, general david petraeus had argued, that put the overall u.s. strategy at risk. >> there are, again, further challenges by not getting all the way through the fighting season. >> reporter: one senator asked if he had considered resignation.

>> our troopers don't get to quit and i don't think that commanders should contemplate that again as any kind of idle kind of action. >> reporter: nearly ten years of war in afghanistan has cost the u.s. $440 billion and the lives of more than 1,500 american servicemembers and it's far from over. even after this initial withdrawal, 68,000 u.s. forces will continue to fight. and to be clear, the last american combat troops won't come out of afghanistan until the end of 2014. that's 3 1/2 more years of what is already considered to be america's longest war, brian. >> jim miklaszewski at the pentagon tonight. jirjs jim, thanks. there is a feeling of dread hanging over the community of minot, north dakota tonight, where thousands are on the run as this giant surge of water is headed right for them and nothing can stop it at this point. the only question tonight is how bad is it going to get there?

nbc's kevin tibbles is there for us tonight watching the approaching water. kevin, good evening. >> reporter: brian, now they're projecting even more water. this makeshift berm protects the city's water supply. why is it so high? well, because now they're expecting water levels to rise ten more feet. that's like four feet above my head. national guard troops racing against the clock and the relentless surge of the souris river. already many homes have succumbed and today predictions of even higher levels, nine feet higher when more water is released from nearby dams. >> there is that impending sense of doom out there and the outlook isn't good. >> reporter: and with some 12,000 minot residents now uprooted, many crammed into red cross shelters. >> last time it was, let's pray that levees hold. this time it's -- it doesn't matter whether they hold, they're going to go over, it's

going to go over it. >> michelle moren has five children, the youngest is four months. >> it just makes me want to cry to know that i'm going to be here and that my place is going to go under water. >> reporter: the current all-time record was set in 1991. barriers are being re-enforced. if this bridge goes, minot would be literally cut and a half. covering the story for weeks now is tom ross of nbc affiliate kmot, he doesn't just work here, he and his family have lived here for generations. >> being a member of this community, it's tough to keep that emotion out of it. >> reporter: what's equally tough is knowing nothing can be done to hold the water back. by the time this river crests on sunday, some 4,000 homes and businesses are expected to be under water. brian?

>> what a terrible drama they're waiting for in minot, north dakota. kevin tibbles thank you for being on the scene for us tonight. now we turn to a crime drama so celebrated it's been portrayed in a major motion picture, because it's such a great yarn. in the city where they know this story best, it's called a great yawn. anyone who's ever been in boston shows who whitey bulger is, a ruthless mobster, accused of over a dozen murders, on the run for years, a fixture on the fbi's most wanted list. until his life on the run came to an end on the other side of the country. our report tonight from our justice correspondent pete williams. >> reporter: the 16-year hunt for a boston mob boss ended in this genteel neighborhood in the los angeles beach community of santa monica, transplanted bostonians were amazed. >> it's just really surprising just to know that he's out in california, you know, i figured

he's either dead or in another country. >> reporter: james "whitey" bulger was wanted on a raft of organized crime charges, including involvement in murdering 19 people. >> he liked to frighten people, he liked to scream at them. he carried a knife and pulled out the knife all the time. >> reporter: after nearly two decades of seeking public tips including the ten most wanted list, the break through came just this week. instead of focusing on him, the fbi asked for tips on his long-time girlfriend catherine greig. and on monday, launched a national tv announcement. >> have you seen this woman? the fbi is offering $100,000 for tips leading to catherine greig's whereabouts. >> reporter: the critical tip came the very next day, they were living in this apartment building, using false names, charles and carol gasko. the fbi moved in wednesday afternoon. >> agents and other task force members lured mr. bulger out of his apartment. the agents determined the individual was in fact mr. bulger. he was placed under arrest without incident.

>> reporter: catherine greig was arrested inside. where agents say they found a gun and piles of cash. the two had actually been living there for 15 years, nearly the entire time the fbi was looking for them. bulger, the inspiration for jack nicholson's character in the movie "the departed" was the boss of south boston's irish mob, who became an informant to help shut down the italian mob in north boston. mixed feelings today in his old neighborhood. >> everybody's got an occupation. >> reporter: now 81, he'll soon be back in his hometown, likely to live out his life in prison. pete williams, nbc, washington. when we come back here tonight, michelle obama's trip to south africa, the official and the emotional parts in her own words tonight. and later, kicking off a very special new "making a difference" series, on the home front, helping america's returning vets return to better lives.

she's been making history all week on her trip to south africa. and today michelle obama in cape town somehow persuaded archbishop desmond tutu to join her in pushups to promote exercise. throughout this trip mrs. obama along with her daughters sasha and malia have been very much on stage in a way we haven't seen them before. kristen welker has been

traveling with them and today she asked the first lady about that and about meeting with another icon, nelson mandela. >> reporter: take me inside that room, what was it like to be there with him? >> i don't know that it means anything different from me, as an african-american first lady because nelson mandela means so much to so many people. but i feel blessed and it makes me think about the legacy that i need to leave for those that follow. and, again, that's not just because i'm first lady, but because i'm a citizen, i'm a mother. >> reporter: in a recent interview with anne curry, the president said, i'm sure there are days where i say one term is enough. do you ever feel that way? >> i think we have a lot more work to do. so i'm ready for more. i have always enjoyed campaigning because when you are connecting with people, you're

reminded what we're doing this for, what the needs are, how good people are. >> but our fish said, no no. >> reporter: we have seen a lot of malia and sasha on this trip, is this a one-time thing that they will be in the spotlight like this? >> this is really the only time they get to travel. we are on summer break. so it's a delicate balance, but our overall goal is to make sure that our girls are not in the public eye, there will be times when they will be, but this is a rare and important trip and experience for them. >> reporter: what's the first thing you're going to tell your husband about this trip when you get home? >> we have already been talking. i talk about the children, the kids reactions to stuff, he's always anxious to see, what did the kids do when they saw -- so still, we're still parents, we still talk about our kids more than anything else. >> first lady michelle obama

sitting down with our own kristen welker in south africa. we have put the entire interview on our website, that's nightly.msnbc.com. >> and up next new evidence of a sweeping change in american life.

thanks to the folks at the

census, we learned something fascinating today. for the first time in our history, minorities make up the majority of babies in the u.s. we have also learned that among african-american households in the u.s., more of them are headed by women than married couples. demographers said it's all evidence that we're living in a drastically different country just compared to a few decades back. a wild night in an american landmark, a tornado smashed through the stables at churchill downs. home of the dper derby. it was the first tornado to hit the facility in its 126-year history. a number of horses ran wild before they could be corralled. there are the only two members, the two surviving members of the original mercury 7 astronauts, john glen, the first american to orbit the earth and scott carpenter. the second american to do so. close friends for decades, and tonight they're together at the

smithsonian air and space museum in washington. they're there for a special anniversary tonight to mark t nasa's manned space flight. when we continue, they're the men and women who volunteer ed for the toughest job possible, the problem is, too many of them are now looking for work back home.

finally tonight, our returning veterans, they volunteer for a tough job overseas, the toughest. then they come home to a tough job market. nbc in partnership with the u.s. chamber of commerce is launching a major effort to put vets to work in this country. job fairs across the country, including one here in new york today. on board the aircraft carrier uss "intrepid" in new york harbor, 108 employers, 1,500 vets were on hand. there are plans for 100 more of these job fairs in the next few months. this isn't the only effort at making a difference here on the home front. nbc's peter alexander has our report from boston. >> reporter: john cogswel will probably tell you he's finally found his ideal job at this cancer institute in boston. >> i have found a sense of purpose and that sense of purpose is the patients here.

>> reporter: it's been a tough road getting here. marine corporal cogswel served in operate desert storm, but it was when he returned to the u.s. in 1991 that the real challenges began. years later, cogswel found himself homeless and desperate for direction. >> i couldn't do it by myself, i couldn't flail around in the dark not knowing what to do. >> reporter: for thousands that first step back to independence has started here at the training center for homeless veterans. the program teaches them how to manage money and how to market themselves. >> so you're not only capable of doing this, you do it under pressure? >> yes. >> reporter: also available, vital job skills, in the kitchen and -- >> the most important space is the space you're driving into. >> reporter: and behind the wheel. >> if you don't have a driver's license, you don't have a certificate and you don't have a degree, you don't have much chance of making it in the market place.

>> reporter: they have placed more than 1,000 veterans in new jobs, even more impressive considering the 11.5% unemployment rate for veterans. combat photographer karin moore is you -- now clean and sober and is studying to be a veterinarian. >> john cogswel was recently married and she and his wife has a 6-month-old son. >> sometimes i need someone to pinch me. and i come back down to earth and i say, you know what? don't question it, it's all here. >> reporter: and as cogswel says, this is as good as it gets. that's our broadcast for this thursday night, thank you for being here with us. i'm brian williams and we hope to see you right back here tomorrow evening, good night.

-- captions by vitac -- www.vitac.com good evening and thanks for joining us on this thursday. i'm raj mathai. >> and i'm jessica aguirre. getting the feds out of the pot-busting business. an east bay lawmaker is upping the marijuana debate by saying that states should be able to make and enforce their own pot laws. barbara lee tonight pushing a federal bill that would allow people to grow and sell pot in states that make it legal.