>> reporter: a serious hit and a in san francisco oncc1: 9-year-old boy. i'm christie smith. i'll have details coming up in a live report. >> wall street, ripple effects spreading all over the world. how the dow's drop will affect the global marketplace and your portfolio. and five fires in one afternoon. suspicious? maybe not. the surprising culprit that could be behind the blaze that swept through acres of land. a live look at downtown san jose. it's friday, august 5th. this is "today in the bay."

>> good morning. i'm scott mcgrew. it's 4:30. let's start and a weekend forecast with meteorologist christina loren. >> good morning. yes, finally a friday, a foggy start to this friday morning. we're going to see pretty heavy cloud cover this morning. but it's going to make way to mostly sunny conditions and a comfortable weekend. i've got the numbers coming up. if you've got to get to work, our hearts go out to you. >> we are right here. we beat you, actually. we're looking to the roadway where they are doing overnight work as well. that's getting over from 1:erstate 80, that should becc picked up over the next half hour. traffic flow is light and my maps are frozen so a lot of folks are lazy. i was going to show you more construction around the bridge. >> fair enough. 4:31 on the west coast. across the world markets

tumbling amid fears the western world could be heading toward a double dip recession. new video of the asian stock market. the nikkei slid 3.4%. hong kong's hang seng 4.4%, stocks falling across europe. italian and spanish bonds trading at levels that are threatening the country's abilities to pay off debts. the worldwide sell-off comes after the biggest one-day points decline on wall street since the 2008 financial crisis. this morning traders will pick up where they left off dowcc1: fell 500he points. there are concerns this morning that jitters on wall street may worsen with today's jobs report expected to be weak. with economists predicting 90,000 jobs added last month. the unemployment rate still flat at 9.2%. when it comes to your finances, warning clients to avoid getting caught up in the emotion of

numbers.ycc1: >> if your time horizon is daily check it daily. for most people they are investing for retirement they should check it periodically. i'm not sure there is benefit to checking daily. >> i heard one guy say your 401 became your 201. as thecc1: ninth worst by points. you look at percentages the drop of 4.3% actually does not rank among the worst. in perspective, black monday 1987, the dow fell 22%. we'll have much more on the economy throughout the morning including live reports from cnbc world headquarters at 4:45. we'll also be covering the jobs 5:30. atcc1: a 9-year-old boy crossing the street with his family fighting for his life after being hit by a wrong way driver in san francisco. it happened just after 10:30 last night at mission street and cartoon omery near thecc1:

art museum. police caught up with the suspect in hayward. that's where christie smith is live with the latest. good morning. >> reporter: good morning. we're at mission and industrial here in hayward. this is where the man believed to be the driver in this case was arrested. what happened is that san francisco police put out a bulletin to law enforcement agencies across the bay area, describing the truck involved. but in this case the damage was so bad that the truck may have actually stuck out on its own. what we're hearing is that hayward police stopped the white toyota pickup truck about an hour after it happened. i spoke with police, they are telling me they believe it's likely that the driver may have been under the influence. police are telling us that a 9-year-old boy from philadelphia had gone to a giants game last night. he was walking ahead of a family member about 10:30 crossing assion at new montgomery whenc: truck turned the wrong way down the street and hit the boy.

at least three other cars were hit as well, then the driver got on the freeway and took off. the boy was taken to sf general with life threatening injuries. we're told a serious head injury and hip injuries. the accident scene so disturbing that the police chief in san francisco came out to see for himself. fortunately, though, witnesses were able to get a good look at that truck, we're told some of them were brought over here to take a look at the truck as well and they believe it was the same one that was involved. reporting live, christie smith, "today in the bay." >> thank you. a los gatos mother will have to register as a sex offender that will follow her the rest of her life in a well publicized trial jury found sarah cole guiltyc: of a misdemeanor annoying or molesting a minor but cole was found not guilty of two counts of unlawful sex with a 16-year-old boy who is or was a good friend of her teenage son. cole will still -- could still

serve time in jail. she'll be sentenced at the end of the month. >> wanted from here to grand junction this morning, two men wanted in a murder in colorado and for questioning in two killings in east palo alto. you saw 24-year-old fa dell silva and here is jaime car deanious, the one with the plaid shirt, kristin fuentes, he is behind bars for a parole vie 0lation. the men wanted in connection with the murders of catherine fisher and hugo chavez. fisher was gunned down while sitting in a car. 26-year-old chavez killed 66 days later on illinois street. >> did a marin county deputy lose his life in part base of cracks in the parole system? the district attorney says the courts didn't know that 28-year-old thomas haloran had a history of making threats before he was freed. a month after his court date he

shot and killed jim mathiason. prosecutors say they looked at his rap sheet but didn't review other documents including restraining orders from his ex-wife and former girlfriend. investigators say they didn't turn over the documents. they didn't seem relevant to the drug charges against him. >> this morning a train could b: the the culprit between fires that ripped through contra costa county. the fires broke out along tracks in oakley around knightsen avenue. burning about 30 acres and damaging several structures including a barn and heavy machinery. fires also forced a shelter in place for the surrounding area and the evacuation of a nearby elementary school. luckily fire crews and neighbors were able to get the fires under control in about an hour. >> if you pan across you can see a bufrp of our neighbors doing anything they could to help the

cause. together.pitched incc1: >> well, it seemed to work. no homes damaged, no one injured. let's check in with christina. i was out at my son's football practice sitting in a chair in the sunshine, freezing yesterday. freezing. >> you didn't have the urge to get on out there and show them your arm. >> it would have warmed me up. >> yet to see that throwing arm on scott mcgrew. hopefully we'll get a chance to. this morning you're not going to see much waking up near the coast. a lot of fog out there so thick it's generating the drizzle, that mist. you might have to use your windshield wipers. keep that in mind especially waking up along the peninsula. 60 in hayward action 62 in sunnyvale and 59 degrees in santa cruz. a little better of a beach day for today because we're going to see a little warmer conditions, not as much of those heavy clouds as long today. looks like the cloud cover will burn off earlier. the marine layer not as deep as it was yesterday.

we're going to see temperatures similar to where they ended up. 79 in fremont. 79 in san jose. speaking of fremont we've got the festival coming up. myself, mike inouye, will be out there, 78 degrees, really comfortable weather saturday and sunday. here's a preview. we've got that full seven-day forecast coming up in moments. let's get you to work with our mike inouye. >> good to know i'll be working with you tomorrow. christina giving out prizes. come by our booth. getting through the tri-valley smooth through livermore. they have a great festival but not this weekend. 14 minutes to 680. construction between al costa. showing you no major issues. the one i marked here a construction spot around sycamore valley. approaching the maze, the oakland commute has cleared up. we have construction zone, the lower deck toward treasure island standard till 6:00. a live look at the coliseum.

you see light volume here and unlike yesterday you can see the lights. yesterday a blur there so less moisture in the air. that's good today. should be less fog. >> friends and family will say farewell to a man who has served as the macy's santa for decades. an irish wake at lefty o'doole's at 5:30 tonight for 69-year-old john thome found dead in his hotel room in san francisco last week. he was a long time santa at macy's union square before making national headlines last christmas after he was fired after someone complained about the racy jokes he would tell to adult shoppers. lefty o'doole's hired him after the incident. the bar will display the thrown he sat on while playing santa. above it will be a banner that reads "santa john's gone to the north pole." coming up -- >> i'm going to run in 2012.

>> that's a jaw dropping announcement. arnold schwarzenegger's first major appearance after his personal life took a tumble. the dow's drop, we'll be live at cnbc headquarters. cc1:

>> 4:43. you are looking at a live picture of the financial district in san francisco.

we will be talking about finances all day this morning eyes on wall street to see how the market responds to the dow's wipeout yesterday. makes us glad we have nicole lapin live at cnbc. what's the mood there? >> well, i'm wearing white because i surrender. i don't know. it's a lot of fear, a lot of anxiety. futures are also pointing to more red arrows after yesterday's wipeout session. i like you use that word. i haven't heard that yet. a lot of other adjectives coming out of investors' mouth. not all i can say on the air. they are becoming rattled about with the global economic slowdown and fears that the u.s. could slide back in recession. the downdraft by many i'm talking to was caused not only by us but our friends across the pond. we tanked when the european central bank continued the a say they are struggling with widening debt. the bank of new york also spooking markets after saying that it would charge large

customers to just hold cash because of a sudden surge in deposits. where can you put your money. that's the biggest question. asian markets falling. gold hit a record high then tumbled. this is amazing. people are opting to cover their losses with cash now. the dow tumbling 512 points yesterday. 11,383 is is where we closed. that is the worst day since december of 2008, that's when things were really hitting the fan. the nasdaq composite falling 136 points to 2556, the dow, the nasdaq, and the s&p 500 are all in official correction territory. there are specific definitions to what is a correction, what is a recession. a correction means we're at least 10% off our recent highs. the s&p has seen more than $1 trillion in market value wiped wiped out, over the past 10 days. it's going to be a bumpy day.

the focus is going to be i will say on the all important jobs report but it's even more so important today. it's coming out at 5:30 in the morning pacific time. it's 8:30 in the morning eastern time. forecasts are calling for pay rolls to rise by 75,000 after 18,000 in june. analysts are looking for about 118,000 private sector jobs. guess what that means. more drag from the government sector. unemployment expected to hold steady at 9.2%. futures don't mean anything. it really matters what we're going to get in terms of the numbers in about 45 minutes. >> nicole lapin, thank you. for months most of we've seen of arnold schwarzenegger has been in shots snapped by the paparazzi. for the first time since his private life was turned upside-down the former governor making a public appearance. >> i'm going to run in 2012. i'm going to run for president of the national body building

association. >> schwarzenegger making a few jokes as he talked business and politics at a convection for executives of the american chamber of commerce, attendees laughing but some questioning his presence. >> people actually did not come to this event because they were upset about that. but you know what, he's a politician, and he made an awful mistake. >> the choice of having him here as a speaker was prior to the news that came out about his own behavior and his own personal life. >> the former governor of course under fire for decisions he made in private and public including fathering a child with his staff and failing to notify the family of a stabbing victim that he reduced the sentence of the son of one of his political allies. yesterday a judge ruled two lawsuits aimed at reinstating the full manslaughter charges could be combined. >> it's 4:47. let's look ahead to your weekend forecast. good morning. >> good morning. yes, everything always looks

better through the rose-colored glasses on friday. we've got a gorgeous weekend ahead. if you want to make outdoor plans saturday and sunday, both days fair game. we're looking towards beautiful conditions. most of the country is hot. watch for a little coastal drizzle. we have thick fog, not as thick as yesterday which means it's not going to hang around as long. we'll warm up a couple degrees. 55 in san francisco right now, at 60 in hayward, 57 degrees livermore on the way to about 71 degrees at noon, looks like 65 at noon in napa, mild day again you can see from the contour map at lunch we're going to deal with a little of the fog at the coast. that could be the place all day long so keep that in mind. elsewhere the sun shine threw. probably about 9:30 this morning. 79 in san jose, 81 in gilroy, and of course you want that weekend forecast, we got it ready for you right now. 69 degrees on saturday, at the

coast, so not a great beach weekend. i think that sunday might be a little bit better. we're not expecting as deep of a marine layer. we start to warm up next week, not by much so. nice mild weather continues in the bay. back to you. >> all right. this morning uc davis on the of a law winning endcc1: suit. a federal district judge says the university violated title 9 failing to give enough athletic opportunities to women but the judge also ruled that the university did not discriminate against a group of female wrestlers cut from the team in 2001. the women had sued the university after they were forced to go through wrestle-offs to determine who on the team would be cut and they all were. the judge says the women weren't cut because of their gender but because they weren't very good wrestlers. title 9 bans gender

discrimination. >> a miraculous story of survival. >> we're looking at a nice pleasant drive for 880 through milpitas. i have a note along this freeway. we'll show you what else is going on even at this hour on a friday. >> don't forget about facebook. mike does a great job of updating that with traffic updates, hit nbc bay area morning news in the search and hit like. cc1:cc1:

>> 4:52. we look at the hp pavilion. an incredible scene, dozens of beachgoer scrambling to save a teenager buried alive on the beach. the teen crushed for a half hour is actually talking about what happened. it was caught on camera just your heart and your mouth as you watch this as a parent. this is newport beach in orange county. everyone digging to get him out. the 17-year-old says he was alone digging a pit when the sand collapsed. >> become unconscious under the sand. i was surprised i was being pulled out. i thought i was going to die. >> matt you saw is doing fine. he says he's been digging sand out of his ears and hair since yesterday. >> the same cannot be said for an east bay boy who went through a similar ordeal on a watsonville beach.

the teen from orinda will likely remain in a vegetative state. ryan buchanan will be moved into a care facility. his family working on renovating the house so they can bring him home. he was digging a sand tunnel with a friend when the sand collapsed leaving him without oxygen for 15 minutes. laura has a look at what's ahead. >> good morning. of course we're following the big story from every angle this morning, everyone waiting to see how the markets will react this morning following yesterday's massive drop and today's jobless numbers are coming out. we'll have a live report from wall street and capitol hill. plus we're live in san francisco's financial district as traders show up for work. we're there before they arrive. we're in silicon valley live where the employee picture is different from the rest of the nation. it's interesting. we'll have the jobless numbers as they are released at 5:30 and we'll be live as the markets open at 6:30.

a lot going on with your money this morning. we hope in the right direction. >> let's hope. laura, thank you. remember the man who ran for new york governor under the rent is too damn high party, his words. >> rent, it's too damn high. >> apparently he's getting kicked out of his manhattan apartment. why? the rent is too damn low. jimmy mcmillan says his landlords are giving him the boot so they can ask for more rent. he pays $872 for his rent controlled apartment. he had it since the late 70s when the rent was just $275. i should point out that i didn't write or say that, but apparently it's okay to say damn this morning. how is the damn traffic? >> it's doing pretty -- well. we crossed the line from your box to my box. i didn't want to say it. unless we're talking about san pablo dam road. in the south bay we have a

smooth drive and no major slowing through the construction zones. 85 repaving. 237, hov work. that will last until about 11:00. and southbound 101 the area i circled we've seen slowing through the area, also construction around tully that may last a half hour. that's a blip here and a lighter volume. golden gate bridge, christina talking about less fog today. you can see across the bridge. and crews are moving that center divide. the center divide on the golden gate bridge is just a set of cones. getting two lanes northbound, the rest south for the flow of traffic. >> mike, thank you. coming up, we found a silver lining to the mess on wall street. you'll see it from your own front porch. neighbors marching to keep street walkers away from their houses. prostitution crackdown ahead. check us out on facebook. cc1:cc:

>> new this morning world markets reacting after yesterday's massive sell-off on wall street. we're following the numbers minute by minute. >> i'm live in san francisco where traders are bracing themselves for what could be another tumultuous day on wall wondering what you should do, expert advice coming up in a live report. >> reporter: breaking news out of hayward. a driver is arrested after a serious hit and run on a 9-year-old boy in san francisco. i'll have details coming up in a live report. >> maybe we'll find the better news in the forecast this morning as we take a live look outside from the s