who just won his attempted recall election tonight is going to be a live guest on "the ed thanks for being with us. hands off approach. news corp ig's rupert murdoch denies responsibility for the hacking scandal that's rocked his company. ending the impasse. are president obama and lawmakers turning to a new strategy for reducing the federal debt? and terror on the track. a mote toe cross racer manages to survive a high flying crash. good mornimorning. i'm lynn berry. this is "first look" on msnbc.

and we begin this morning with a humbling day. the murdochs have made a business out of covering stories. yesterday they were the story. testifying in dramatic hearing about the phone hacking scandal rocking their media empire. next up for questioning this morning, english prime minister david cameron. stephanie gosk reports. >> reporter: the man who runs the second largest media company in the world side by side with his son was in front of parliament, apologetic. >> i'd like to say this is the most humble day of my life. >> i'd like to say as well just how sorry i am and how sorry we are to particularly the victims of their illegal voice mail interceptions and their families. >> reporter: from the beginning james took the lead. >> i think my son can perhaps answer that in more detail. >> reporter: at times jumping in to help when his 80-year-old father searched or stumbled for

the answers. >> mr. chatman was the top -- >> reporter: but it was rupert murdoch's wife who stepped in at the most critical moment. to protect her husband. the protester and am schur comedian who calls himself john any marbles was arrested and led away by police. for most of the questioning about phone hacking at news of the world, the committee focused on who knew what and when. both of the murdochs repeatedly denied prior knowledge and never assumed responsibility. >> i don't know. >> i have no knowledge. >> that is the first i've heard of that. >> i don't have knowledge of that. >> i don't know. >> reporter: at one point murdoch claimed his company is too big to know the details of each business. there can be more tough questions ahead. the british prime minister david cameron has called a judiciary inquiry. they could be summoned for that.

and some u.s. lawmakers want their own hearing on capitol hill. stephanie gosk, nbc news, london. lawmakers finally appear to be making bipartisan progress in those ongoing divide over what to do about the debt limit. for the latest, we go to tracie potts in washington for us. good morning. >> reporter: lynn, good morning. just a glimmer of hope this morning from the so-called gang of six. three democrats and republicans who have been working together on a compromise. the plan on the table would cut $4 trillion from the deficit, lower taxes, but also bring in a trillion dollars in new revenues by closing tax loopholes. both sides seem to like it at least as a first step. president obama calling this a very significant step in line with what he's been working on at the white house. republicans saying it has good elements. they want to take a very close look at this. that after republicans yesterday

in the house passed their cap, cut and balance plan. it's pot expected to pass the senate as it moves forward today. president obama has already said he will not sign that $6 trillion plan. but there's still significant opposition here on capitol hill, but not across the country. a new nbc poll finds most americans want to see compromise here. >> so where exactly would the $4 trillion in cuts that tracie just mentioned come from? senator conrad, one of the gang of six, laid out the details last night. >> it's a comprehensive plan, fundamental tax reform, reform the entitlements, cut spending, both nondefense and defense in significant ways have about $4 trillion of deficit and debt reduction over ten years. we've got revenue through

actually broadening the tax base and reducing tax rates to make america more competitive. we've got very significant spending reductions in both nondefense and defense and mandatory programs as well, reform of the entitlements including addressing the looming insolvency of social security, not by using savings for deficit reduction, but by using all of the savings from social security to secure its long term viability and strength. >> the last word takes on the day's most compelling stories. the last word airs week nights at 8:00 p.m. eastern only on msnbc, the place for politics. and here is your first look at some of the other news going on around mirk. a carjacking led to an explosion of water in one los angeles neighborhood. the stolen car barreled over a fire hydrant creating this

massive geyser that showered nearby homes. it took firefighters over an hour to shut the hydrant off. the alleged carjacker was hospitalized and been arrested. in minneapolis, a section of interstate 94 surrendered to soaring temperatures. the payment on two northbound lanes buckled from high heat and humidity. crews shut down the lanes slowing traffic to a crawl. those delays will continue unthe lanes are repaired. and in chicago, hot, hugh maid air mixed with cool waters of lake michigan proved to be a bad combination for beach goers. thick fog forced officials to ban swimming at several beaches. high winds pushed the fog inland limiting visibility for lifeguards. at one point the fog even moved into the downtown area before dissipating. and now for a look at the national weather, we return to kind of an unpopular guy these

days. don't blame the messenger. >> it's all about your perspective. if you think back to the winter, the coldest days and snow. >> and now you can't prooet wbr. >> who cares if the air quality isn't healthy? we'll get through it. good morning, everyone. the heat wave is the story out there. yesterday 101 in dallas. and that only marks 18 consecutive days above 100 degrees. so we've got some impressive records being set. minneapolis by the way had a heat index of 120. and the heat index is when you mix the temperature with the humidity. that's the how it feels temperature outside. now, currently out there the worst of it is up here in the northern plains. this is where it's very humid, it's actually more humid in minnesota, iowa and wisconsin than it is on the gulf this morning. the high pressure center is right over st. louis today. these areas of green, the dew point measures how much moisture is in the air. if it's over 60, you can feel

it. if it's over 70, that's where it's oppressive. and we're in the 70s throughout almost everywhere east of the mississippi and also back up here into the northern plains. notice the highest numbers are at minneapolis and new orleans and also there in florida. so in other words, in the northern plain, you have the humidity this morning of what they do down in florida. your bodies just aren't used to it. and right now the heat index even without the sun, it feels like 91 in minneapolis. you're by far the hottest heat index of all the major cities right now in the country. we have excessive heat warnings, i think we have 31 states now over 100 million people are under some sort of watch, warning or advisory. so today's forecasts as advertised, just about everybody in red is going to be in the 90s. this pink shading here, all of oklahoma will be in the hook. you get one day of a little bit

of a break in new england and then your heat and humidity will soar into tomorrow and also the northern plains. i think we're looking at still d.c. still has a chance of three days in a row of 100 degrees. very rare event about to happen. >> bill, thanks. apple dominates, big bluees. your first look at business headlines is straight ahead. a comedy of errors and what in the world has gotten into the pirates? you're watching "first look" on msnbc. my contacts are so annoying. i can't wait to take 'em out.

[ male announcer ] know the feeling? try acuvue® oasys brand contact lenses with hydraclear® plus for exceptional comfort. it feels like it disappeared on my eye! [ male announcer ] discover why it's the brand eye doctors trust most for comfort. acuvue® oasys brand. trust most for comfort. ...was it something big? ...or something small? ...something old? ...or something new? ...or maybe, just maybe... it's something you haven't seen yet. the 2nd generation of intel core processors. stunning visuals, intelligent performance. this is visibly smart. vietnam, 1967. i got mine in iraq, 2003. u.s.a.a. auto insurance

is often handed down from generation to generation, because it offers a superior level of protection and because u.s.a.a.'s commitment to serve the military, veterans, and their families is without equal. begin your legacy. get an auto insurance quote. u.s.a.a. we know what it means to serve.

welcome back. here's some of the top stories making news this morning. the fbi has arrested a man accused of being an agent for pakistan state intelligence service who alledgedly funneled $2 million in contributions to u.s. political candidates and organizations without disclosing

his connections to the pakistani government. the fbi says the man's goal was to tilt u.s. policy against indiana control in kashmir. the justice department says 14 people have been arrested in nine states and district of columbia for allegedly mounting a cyber attack on the pay pal website. the group anonymous claimed responsibility calling it retaliation for the site's suspension of wikileaks accounts. a mother and her three young daughters died when their vehicle drove into a washed out section of a wyoming highway and was swept away by a raging creek. only the father managed to escape. in california, witnesses say a hiker was swept over a water fall at yoe accept itity national park. a search and rescue operation will resume in the morning. this morning in shanghai,

yao ming announced his retirement due to injuries. david stern called the chinese star, quote, a testament to the globalization of our game. and for the second time in a week, sisly's mount etna has spewed lava closing down the main airport. now here's a look at wall street. the dow opens at 12,587 after jumping 202 points yesterday. the s&p spiked 21, the nasdaq went up 61. taking a look at overseas trading, in tokyo, the nikkei climbed 116 points. points, while in hong kong the hang seng added 101. tuesday strong earnings and hope for a deficit deal in washington boosted stocks to their best day since march. the dow had its biggest one-day jump this year. tuesday's gains turned all three majors positive for the month. the nasdaq gained more than

2% led by apple hitting a 52-week high. after closing apple posted stunning sales vaulting past nokia and samsung to become the biggest smartphone maker, and way above analysts' estimates sending shares even higher after hours. results from tech bellweather ibm sent big blue zooming up almost 6%. coca-cola's sweet results sent coke up over 3%. harley davidson was the s&p's top performer after reporting its first sales increase since 2006. wells fargo shares jumped 6% after a profit hike. key bank had a boost in earnings. on the flip side bank of america and goldman sachs fell on disappointing results. in data june's new home and apartment construction jumped to a six-month high.

single family home construction saw its biggest increase in over two years. home builders lennar and dr horton gained on that news. after the struggling yahoo reported a net revenue drop. yahoo is down more than 20% from its 52-week high in may. today's ipo is the real estate listing service zillow, opening at $20 a share. and finally, trade unions in italy are up in arms over "degrading merchandizing of the human body." after a milan department store used live models in shorts and bikinis in shop windows. well, coming up, the pirates hold fast. the yankees blunder, and a memorable play at the plate. a frightening motocross mishap with a happy ending. your first look at sports is straight ahead. you're watching "first look" on msnbc. all i could do was worry ! specialists, lots of doctors, lots of advice...

and my hands were full. i couldn't sort through it all. with unitedhealthcare, it's different. we have access to great specialists, and our pediatrician gets all the information. everyone works as a team. and i only need to talk to one person about her care. we're more than 78,000 people looking out for 70 million americans. that's health in numbers. unitedhealthcare. ♪

going to the bank without going to the bank... that's a step forward. with chase quickdeposit on your smartphone, you just snap a picture, hit send and done. chase quickdeposit. take a step forward and chase what matters. ♪ we just keep on keepin' on ♪ ♪ keep on

in sports, they don't have a big budget or many big named players, but the pirates are a first place team. here's fred roggin. good morning. i know it's only july, and there are some 60 games left in the season, but give it up for the pittsburgh pirates. what do you say? a team that has not been relevant since the clinton administration is now atop the nl central. everybody likes a winner, and the pirates are the talk of the town in pittsburgh.

the only run of the game andrew mchitchin, a ground-out. pirates up 1-0. the difference from the past. pitching. james mcdonald, and three relievers combined for a six-hit shut-out. do not adjust your audio. the pirates are in first place and beat the reds 1-0. the rays lost the last two games, but the baseball gods made up for it last night. sacks full. eddie botched it. yanks and rays tied 2-2. johnny damon to center. curtis granderson made a grab. sent the ball halfway to tallahassee. that's the go-ahead run. yanks with a comedy of errors in the sept. the rays won it 3-2. look at this. as and tigers. carlos, a shot down the line. martinez hustled from first. got the green light to go home. the throw to the plate in time. martinez slipped past the plate, faked out the catcher and was safe. great body control and it makes suzuki look like a fish out of water. tigers win it 8-3. over the last few weeks we've had several crashes in the tour

de france, but nothing on two wheels compares to this. motocross championships in minnesota. chad reed in first place. he was airborne. lost control of his bike and fell 50 feet before hitting the ground. luckily, he was okay. in fact, he was good to go. got back on his bike, continued the race. another look at the crash. when asked what was going through his mind, he said he was just hoping not to land on his head. it's good to see chad has his priorities in line. that's your first look at sports. and now for another quick look at the weather, here's bill. >> hence the reason why i don't do motocross. >> and why i just walk everywhere i go. >> s slowly in the heat. we have rear conditions in the east. philadelphia got nailed by thunderstorms. how it is clear, you still have

moisture in the ground from the storms yesterday, and that will add more humidity to your day. so 94 in philly today. and this isn't even really the hot weather. we're not under warnings, just advisories. d.c. today at 95. we're a little cooler up in new england, but temperatures still in the upper 80s to low 90s. tomorrow is when things really crank up unless you're right near the water in boston, you're still the mid to upper ninth, too. hartford at 96, even albany, new york, mid-90s. so no one will really catch a break and this 100 is kind of glaring in d.c. and as i mentioned before, i think d.c. right into the weekend, 100 on saturday, 97 on sunday. it really doesn't get better in the mid-atlantic and areas of new england probably until about monday or tuesday. well, who is saying what over marc anthony and j-lo's divorce? plus we'll tell you why compared to his hollywood friends, matt damon thinks he has it pretty good. your first look at entertainment

is straight ahead. you're watching first look on msnbc. budget with expedia. make it work. booking a flight by itself is an uh-oh. see if we can "stitch" together a better deal. that's a hint, antoine. ooh! see what anandra did? booking your flight and hotel at the same time gets you prices hotels and airlines won't let expedia show separately. book it. major wow factor! where you book matters. expedia. >> ( rooster crows ) >> by 2020, 50 billion network devices will roam the earth. that's seven devices per person. this will change how we work in ways we've never before imagined. what do you need to secure your people, their devices, and your business? a network that can evolve and grow to protect your human network. [ female announcer ] now you can apply sunblock

to your kids' wet skin. new neutrogena® wet skin kids. ordinary sunblock drips and whitens. neutrogena® wet skin cuts through water. forms a broad spectrum barrier for full strength sun protection. wet skin. neutrogena®. you get nothing for driving safely. truth: at allstate, you get a check in the mail twice a year, every year you don't have an accident. the safe driving bonus check. dollar for dollar, nobody protects you like allstate.

last night, jimmy and justin timberlake debuted a sort of see quill to their history of rap, a hip hop time line that went s i viral back in september. ♪

♪ >> it keeps getting better. tonight jimmy welcomes andy gosling. that's week nights at 12:35. celebrity matt damon thinks he is lucky, especially compared to his friends brad pitt and angelina jolie. damon told german tv this past weekend pitt and jolie are like prisoners. they can't go someplace and even if they just want to take a

walk, it turns into an "international incident." as for his relative peace, damon credits living in new york city. he avoids tourist spots and says new yorkers are "very cool." they don't flip out if they see me. the fallout are from the jennifer lopez and marc anthony divorce seems to be coming from her camp focusing on his controlling nature. us weekly quotes sources who say he always tries to manage her wardrobe because he didn't want the 40-year-old mother of two looking too sexy. finally, trying to save a ratings leader and hype its debut episode on the same night of former star charlie sheen's roast. cbs has this new billboard featuring new star ashton kutcher for "two and a half men." that's causing a little bit of a buzz. >> so which would you rather watch? >> i don't think either. you know what i am interested in, ryan gosling on jimmy fallon

tonight. >> are you ingoing to wait in le for tickets? i'll be the creepy girl lurking outside the studio. rupert murdoch calls it the most humble day of his life. the news corp. the question is where did win wendy learn to throw that right hook. now the mafia sounds gang of six is coming p with a plan of its own. the question is all of this too little too late. and as we talk about the weather, some scorching triple digit temperatures that are now moving to the east coast. this brings new meaning it to the phrase dog days of summer. the question is who invented modern air conditioning? i can answer that for you. it's willis carrier and god police you.