hurricane arthur slams into north carolina's outer banks as it heads north with 100-mile-per-hour winds and flood-producing rain. the dow jones industrial closes above 17 thousand for the first time after a strong jobs report. and america celebrates its 238th birthday. ♪ captioning funded by cbs >>is is th this is the "cbs morning news" for friday, july 4th, 2014. good morning. good to be with you. i'm anne-marie green. this morning hurricane arthur is hitting the north carolina coast with 100-mile-per-hour winds and pounding rain. arthur came ashore late last

night as a category 2 storm, ruining holiday plans for thousands. arthur is the first hurricane to make landfall in the u.s. since superstorm sandy in 2012. surge-related flooding is likely along the coast as arthur moves north. susan mcginnis is on the outer banks of the island of nags head. good morning. >> reporter: good morning. hurricane arthur is hitting at the worst possible point at this hour right now. nags head, north carolina, in the outer banks, killdevil, as it makes its way up the north carolina coast. there's not to be a soul found outside other than a couple of police. people did tell us they're hanging around as of late last night but thousands decided to change their plans, pack up, and get out of the way. police told people to stay indoors as hurricane arthur came

ashore thursday night dumping heavy rain and unleashing 100-mile-per-hour winds. the first named storm of the season made landfall as a category 2 storm before midnight near the southern end of the state's southern banks. ahead of the storm governor pat mccrory put two dozen counties under a state of emergency. >> we really won't know the extent of the damage until mid morning or even later. >> reporter: arthur is pounding the north carolina coastline and washing out july 4th holiday plans for residents and vacationers here, many of whom evacuated. some did stay to ride out the storm. police went door to door to take note of who stayed behind, but harry and his family vacationing in nags head from northern virginia decided to pack it in. >> we saw the state trooper on the road and we asked him, and he said it's mandatory evacuation. and, you know, so that's when we decided to leave a little early. >> reporter: now, these are the kinds of wind and this is the h

banks, bring down power lines. believe it or not, anne-marie, it's expected to be a beautiful weekend as it moves up north and then off of the united states coast. he's hoping to salvage some of the tourist season. >> let's hope he's right. thank you very much, susan. meteorologist eric fisher of our boston affiliate wbz has been tracking hurricane arthur. >> well, we have a hurricane -- significant hurricane making landfall in the outer banks. arthur is the first hurricane of category 2 strength or stronger that's made landfall in the united states since all the way back in 2008. so the strongest storm in terms of wind making landfall in the u.s. since ike in 2008. it will continue to move across the outer banks during the overnight hours and move out to open water by the end of the day today. by the end of the day today,

category 2 would be just off the delmarva peninsula, spend some time over open water on friday, but then comes very close to the southern new england coastline. a track that takes it just off the east and south of nantucket it should start to weaken to a category 1. in terms of that wind field, bring the hurricane force winds across the outer banks. could be some significant damage left over because of that. then the wind field is over open water during the day friday night and into saturday morning. this is where the tropical storm force winds should be coming across cape cod and the islands here in far southeastern new england and heads up to the new england maritime. and because of that there are some warnings upstream as we work our way up to the north and east. tropical storm warnings do touch far eastern massachusetts and hurricane warnings for the coastal waters just outside nantucket and cape code. so still a ways to go here on the fourth of july looking at significant impact from the first named storm of the season. i'm meteorologist eric fisher for cbs news. >> well, the threat of hurricane arthur for several cities to

hold their independence day celebrations a day early. ♪ >> one of those cities was boston. the annual boston pops fourth of july concert was held last night after the fireworks display, heavy rains and lightning forced everyone to leave. and there was a deadly fireworks explosion southwest of dallas. a trailer full of fireworks blew up yesterday. one person was killed, three others were injured. today's fourth of july fireworks celebration is canceled as authorities investigate. turning now to the u.s. economy, which is picking up steam. last month employers added 288,000 jobs and the unemployment rate dropped to 6.1%, its lowest since 2008. that led to a surge on wall street. the dow shot up 92 points yesterday, closing for the first time ever above 17,000 points. the nasdaq gained 28 points. anthony mason reports.

>> reporter: with the surge in june hiring, the u.s. economy appears to be gaining momentum. nearly 1.4 million jobs have been created so far this year. economist michael hanson is with bank of america/merrill lynch. is the economy finally getting traction here? >> it looks that way. i mean obviously there's been a lot. >> reporter: not only was job growth in june strong but the previous two months were revised up as well, may, 224,000 jobs created and april, 304,000. that's the strongest increase in two years. anthony says the economy is on its feet again. so we're standing. are we running? >> we're walking a little more briskly than we were six months ago. but i don't know if we're running just yet, but we're getting there. >> reporter: the lowest is those with college degrees but many like 28-year-old elizabeth thompson still feels

underemployed. as a journalism major she works for a magazine earning about $28,000 a year. >> the main thing i always worry is that i'm not going to ever be able to make a solid living. that's probably my biggest worry. >> reporter: a study by the new york fed found that 40% of recent graduates can't find jobs that fit their education level. >> you've got to work really hard because you're not to be graduate and say well, i have a bachelor's, so give me that job, because that's not how it works. >> the surge in hiring is not boosting wages, which have risen just 2% over the past year, about the rate of inflation. and weekly wages have actually fallen in the past two months. anthony mason, cbs news, new york. now, to the immigration debate. president obama will preside over a july 4th citizenship ceremony for 25 members of the armed forces this morning. at a hearing yesterday, texas governor rick perry called the situation at the u.s. border a

humanitarian crisis. more than 52,000 unaccompanied children have crossed the u.s. border since october. at one point perry got into a heated debate. >> if where you're going with it is where i think you're going with it, here's the thing. i've been governor for 14 years. >> governor, if you don't mind. >> no, no. >> if you agree -- >> here's the reason i agree to it. the reason people are coming is because the border has not been secured. >> perry also said texas should be reimbursed the half a billion dollars it spent securing the border with mexico. and a georgia father remains behind bars this morning. justin harris is accused of deliberately leaving his son in a hot car to die. harris was in court yesterday and as danielle nottingham tells us, prosecutors say harris was sexting while his son died. >> reporter: justin ross harris sat quietly while the detective told the cord harris spent the last day of his young son's life sending lewd messages to several women, including teenagers.

>> the most common term would be sexting. >> were photos being sent back and forth between this man and these women during that day when the child was left in the car? >> yes. >> reporter: the detective testified it was 88 degrees on june 18th, the day harris left his 22-month-old son cooper in the car for seven hours while he went to work. prosecutors say harris intentionally killed the boy, painting him as unhappily married, even searching the internet on living a child-free life. the defense called the sexting testimony a shame campaign. >> there certainly is not evidence that he consciously left his child in the car. >> reporter: harris told police he for goat to drop off cooper at day care. the detective said harris returned to his car after lunch to drop off a purchase and still claimed to not have noticed his son in the car. harris reached for a tissue while the defense witness talked about his reaction. >> he said, oh, my god, my son is dead.

>> reporter: the judge denied bond. harris remains behind bars awaiting trial. danielle nottingham, cbs news. coming up on the "morning news," middle east violence. violence explodes in the aftermath of the deaths of three israeli students. you're watching the "cbs morning news." protect my joints from further damage. doctors have been prescribing humira for ten years. humira works by targeting and helping to block a specific source of inflammation that contributes to ra symptoms. it's proven to help relieve pain and stop further joint damage in many adults. humira can lower your ability to fight infections, including tuberculosis. serious, sometimes fatal infections and cancers, including lymphoma, have happened, as have blood, liver, and nervous system problems, serious allergic reactions, and new or worsening heart failure. before treatment, get tested for tb.

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in arizona a massive dust storm rolled through phoenix last night. neighborhoods were choked with dust. strong winds knocked out power to more than 25,000 customers. operations at sky harbor international airport were briefly halted, and a fourth of july fireworks show in phoenix was canceled. the u.s. military is assessing the crisis in iraq. the chairman of the joint chiefs of staff general martin dempsey says iraqi forces can defend baghdad but cannot retake territory they've already lost. defense secretary chuck hagel says about 200 american military advisers are in iraq but insist

they will not be involved in combat. israel is bracing for possible backlash following today's funeral of a palestinian teenager. they're calling for restraint after days of fighting between the police and palestinian protesters. alex ortiz reports on clashes. >> reporter: it was the second day of fierce rioting. they threw rocks and molotov cocktails. they were running street battles with israeli soldiers. this is the worst street violence jerusalem has seen in years. palestinians have built a barricade behind me. they're burning tires. you can smell the smoke in the air. they're firing tear gas at them. the fear is on the rest that spread. tensions spiked after the funeral of three murdered

israeli teenagers and the suspected revenge killing of a palestinian teenager yesterday. the badly burned body was discovered wednesday dumped in a forest. police are still investigating the murder. but here among the mourners outside the boy's home, he's already become the latest martyr in an endless cycle of violence. video posted online this week showed a small crowd of israelis shouted death to arabs as they passed the camera, and in gaza the militant islamic force turned out in a show of force showing this isn't over. there are worries that after the funeral this is only going to escalate further. alex ortiz, cbs news, tel aviv. in sports the yankees start the holiday weekend with a bang.

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padvil pm gives you the healingu at nsleep you need, it. helping you fall asleep and stay asleep so your body can heal as you rest. advil pm. for a healing night's sleep. here's a look at today's forecast in some cities around the country. in sports the yankees snapped a five-game losing streak, their longest of the season. new york's carlos beltran blasted a three-run homer against minnesota and tanaka blasted one, the yankees beat the twins, 7-4.

detroit's max scherzer allowed tampa bay only two hits in eight innings. the tigers had three home runs by ian kinsler, victor martinez, and torii hunter. detroit defeated the rays, 8-1, their 12th victory in their last 14 games. in the national league, a bobbled grounder in the ninth inning by yamt aloud ben very veer to score a goo-ahead run in a philadelphia rally. and the phillies hung on to edge the marlins 5-4 to end a six-game losing streak. and the cardinals' jhonny peralta hit a home run. st. louis's pitcher drove in a run, struck out six. the cards beat the giants, 7-2. san francisco has now lost 17 of 22, and dropped out of first place in the n.l. west. when we return, cliffside drama. a climber stuck on a narrow ledge clings to the side of a mountain as he waits for rescuers. narrow ledge clings to the side of a mountain as he waits for rescuers. swimwear.

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home damaged by an apparent explosion and fire. a chicken recall just in ti for holiday barbeques..why took the feds so long to se out a warning. a summer tradition shortened because of hurrice arthur. the spectacular display-- that lit up the n sky. join us for kpix 5 news this morning... beginning at 4:3 ,,,,

here's a look at today's forecast in some cities often the country. here's a look at today's forecast in some cities often the country. and here's another look at this morning's top stories. hurricane arthur is now a it made landfall last night packing winds of 100 miles an hour. ar tackle is expected to weaken as it heads up the east coast. and boston held its july 4th celebrations a day early because of hurricane arthur. fireworks in new jersey and new hampshire are postponed until later this weekend. newly released video shows a dramatic rescue in washington state. officials say a hiker who

decided to climb down a cliffside on monday became stranded but he was able to use his cell phone to call for help. bigad shaban spoke to the rescuer who was lowered from a helicopter to pull the man to safety. >> reporter: more than a hundred feet above the rocks, a stranded hiker waited for more than an hour to be rescued. >> he's sitting on about a 3-foot ledge or so. >> reporter: a seven-member rescue team all volunteers all helicoptered in from snohomish. 32-year-old miles mcdonagh was lowered out of the helicopter to grab the hiker. his helmet camera captured the drama. he's made over 20 other cliffside rescues over the last five years but said this was the most difficult. we spoke to mcdonagh by phone. >> he was hanging on maybe on a three-foot ledge, so there wasn't much space to work there.

>> reporter: but mcdonagh managed to get to him and told the hiker he was going to be okay. >> i told him not to let go of the rock, not to grab for me when i came in, but just kind of remain calm. >> reporter: what was his reaction? >> he was obviously, you know, a bit shaken up, a very stressful situation, but he was composed the whole time and did everything, you know, to make his rescue a success. >> reporter: the entire mission lasted about 30 minutes and ended with the hiker and the entire rescue team back on solid ground with no injuries. bigad shaban, cbs news. well, the top competitors for today's fourth of july hot dog-eating contest at coney island are ready. at new york city hall reigning male champion joey chestnut looking for his eighth win weighed in at 205 pounds. two-time female champion sonya thomas weighed in at only 100 pounds. coming up after your local news on "cbs this morning" we'll

have live reports on hurricane arthur up the coast. i'm anne-marie green. this is the "cbs morning news." have live reports on hurricane arthur up the coast. i'm anne-marie green. this is the "cbs morning news." you think you take off all your make-up before bed. but do you really? [ female announcer ] neutrogena® makeup remover erases 99% of your most stubborn makeup

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the results of a new audit to show wait times to get an appointment at the veteran health affairs facility has improved. meantime there's outrage over managers getting bonuses during the coverup of the secret waiting list. wyatt andrews reports. >> reporter: this list we obtained from the house veterans affairs committees shows $2.8 million going to senior executives with more going to those in charge while care was delayed for veterans. more than $9,000 went to sharon helman while parents died. where 18 patients died while on secret lists waiting for appo t appointmen appointments. helman's bonus has been

rescinded and she's been suspended but helman's regional boss susan bowers received nearly $9,000 despite two ongoing investigations. >> i think we we're going to find the more we investigate you're going see where folks decided to gain the system, fudge the numbers if you will, cook the books in order to get bonuses. >> reporter: in some cases bonuses went to executives despite documented problems. $8,200 went to cynthia mccormack, the hospital director in cheyenne, wyoming. where a v.a. investigation found that wait time days are actually much longer than the hospital was falsely reporting. there was also a bad boys list in cheyenne for anyone who did not submit false reports. in phoenix debbie allen believes her husband mel died because of bonuses. mel died of bladder cancer after waiting eight months for care, but she says officials would not report long delays because that would cost them money. >> and now they're covering up

the cover jupp which is really a disgusting thing to do. for money, you know, for bonuses. it's really terrible. >> reporter: we could not reach sharon helman, the suspended derek director in phoenix for comment. susan bowers who has since retired told us in a phone interview she was not aware of findings of manipulation of data and that her 2013 bonus was based on the many positive things done while i was there. cynthia mccormack sent us to the headquarters. she said she got her information based on the information available at the time. what's now coming to congress is a much closer look as to why the bonuses weren't stopped as the investigations unfolded. senior level bonuses have already been suspended for this year, but not even chairman miller would eliminate all of the bonuses because he said thousands of hard-working v.a. employees deserve them. wyatt andrews, cbs news, washington. well, coming up after your local news on "cbs this

morning," live reports from north carolina on hurricane arthur. we'll track the storm. plus, a warning about drowsy driving, which is blamed for tens of thousands of crashes every year. and members of the u.s. soccer team join us in the studio fresh from the world cup tournament. that's the "cbs morning news" for this friday. thanks for watching. i'm anne-marie green. have a happy fourth of july. -- captions by vitac -- www.vitac.com

your realtime captioner is linda macdonald. good morning, everyone. it's friday, july 4. 4th of july. >> yes. >> i'm michelle griego. >> it's friday and it's a holiday.

>> hi, everyone. i'm frank mallicoat. who is patriotic? is this this side or is this side? [ laughter ] what about you, mr. mallicoat? >> some of us just forgot! >> i forgot. orange and yellow! [ laughter ] >> i don't know. >> okay. i'm hearing "on with the show" > sorry about that. 4th of july forecast, of course very, very important. high pressure now building in. temperatures will be warmer today back in the 90s in the valleys. will we be able to see those fireworks? 'll talk about that coming up. >> and it is a holiday obviously for most folks. so there's not a lot of a commute going on, on the bay bridge. no overnight roadwork and mass transit is on a holiday schedule. more coming up. >> an orangey red. >> that's what i'm hoping. >> i think on some monitors it will be red, elizabeth. thank you. a loud boom then the whole house shook. this is the damage after an explosion and fire just