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street was looking for something to put the brakes on a two-week slide. it found it in today's unemployment report. it shows that the unemployment rate fell a tenth of a point in july, and there was an increase in hiring. it was small, but better than expected. in a volatile day of trading, the dow shot up 171 points, then dropped 244, and finally closed with a gain of just over 60. it is a long way from the high that it hit back in april. since then, the dow is off 1,365 more than 10.5%. we're covering this story in chicago, london, and washington. first, here's anthony mason. >> reporter: scott, finally, some relatively good economic news. it wasn't a blow-out number, but it was the strongest job growth we've seen since april. the news helped battered stocks stage a turnaround. >> it's really kind of a collective sigh of relief in global markets that the u.s. economy continues to add jobs. >> reporter: while governments continued to cut jobs-- 37,000 of them in july-- the private sector added more than 150,000 workers. >> we've got a pulse. we're still fighting. but, you know, we're not out of the hospital yet. >> reporter: economist diane swonk was happily surprised by the stronger-than-expected jobs number. >> 117,000 jobs is nothing to pop champagne corks over. >> reporter: because of the nearly 14 million unemployed americans, more than six million have been out of work for more than half a year. >> the job market is a nightmare. >> reporter: lorraine chavez lost her job as a program director at chicago's depaul university two years ago. so you applied to macy's and to target for jobs. >> yes. >> reporter: and what did they say? >> nothing, i just didn't get hired. >> reporter: what about the house? chavez has managed to hold on to her house by taking part-time teaching and consulting jobs ask tapping into her savings. what you have done to survive? >> that's what i've done. >> reporter: you've depleted your savings. >> everything, it's all gone. >> reporter: chavez is one of the workers characterized as underemployed. >> underemployment is not survival. >> unemployment has held above 8% for more than 30 straight months. do you think we're at risk of another recession? >> the risk of a double-dip just went down slightly with today's employment numbers but it's not gone away. >> reporter: at the chicago mercantile exchange, john brady put it this way: >> until the job market starts to contract and we see outright negative job growth or job losses, the chance of a double dip are still rather small. >> reporter: but the markets remain highly volatile, scott, and two out of the three major indexes still ended the day in the red. >> pelley: anthony, we had that big drop in the dow earlier in the day, and then it turned around. what made the difference? >> reporter: well, the first shift in mood came with the job numbers, but the second real rally came when the word leaked that the european central bank was intervening to help italy and spain, which many feared were going the way of greece. that's when we had that 400- point swing inside of one hour, scott. >> pelley: thank you, anthony. while the unemployment rate fell in july, the government said it was only because people dropped out of the labor market, too discouraged to look for work. this latest trouble in the financial markets started overseas, where we have liz palmer in london. >> reporter: in august, when all europe traditionally takes a summer vacation, only a crisis could keep the politicians at work, and they've got one. today italian prime minister silvio berlusconi announced an emergency meeting of the g-7 finance ministers. it's an obvious effort to steady near-panicked markets. >> this is one of the concerns that the market has always had about the european debt crisis. it's always seemed to be a couple of steps ahead of the politicians, and it just mushrooms out of control very quickly. >> reporter: it has looked out of control since monday. and by friday evening, european markets had posted their biggest weekly decline in nearly three years. all over the euro zone, there are worrying signs. overnight in spain, for example, angry crowds fought with police. their complaint: unemployment. among young people between 18 and 25, it's a staggering 45%. apart from germany, which remains a powerhouse, europe's economies range from weak to dangerously crippled by debt, with some investors worried that spain and italy could actually default, sending shockwaves across the atlantic. >> so europe sneezes, america catches a cold? >> that's absolutely right, i'm afraid. this is the first time we've actually seen the u.s. be more than-- in fact, deeply concerned about what's going on in-- what's going on in europe. and the european sovereign debt crisis is, indeed, very, very serious. >> reporter: so serious, that both the french and german leaders spoke to president obama today. they're hoping that a united political front that looks serious about tackling that debt will restore some confidence to the markets before they open on monday. scott. >> pelley: thank you, liz. we saw something striking today about unemployment here in the u.s. look at how much longer it is lasting. this chart starts in 1948 and tracks the number of weeks the average american was unemployed. it is now way up above the historic average, more than 40 weeks. at the washington navy yard today, president obama urged employers to hire more veterans. he also said this about that federal debt crisis that was resolved at the last minute on tuesday. >> let's be honest. the process was divisive. it was delayed. we've got to be able to work together to grow the economy right now, and strengthen our long-term finances. >> pelley: bob schieffer is our chief washington correspondent and anchor of "face the nation." bob, the president says republicans and democrats have to work together. >> schieffer: i don't think you'll get any argument on that. the question is how, scott. everybody says we have to build confidence in this economy, but this parade of partisan foolishness that we've been treated to in washington in recent weeks did nothing to increase anyone's confidence. i think if anything, it made all of us more doubtful that congress and the white house can do anything together. if the president has said it once, he has said it 100 times: we're going to focus on getting people back to work. but, you know, washington seems to have lost its way. in the span of 18 months, we've gone from spending nearly a trillion dollars on stimulus to cutting over a trillion from spending. but whatever they've tried, nothing seems to change. i guess you can say things are getting back to normal in one way here, scott. the president went off to a fund-raiser the day after the debt crisis was resolved, and congress went on another vacation. so on that front, at least, it's business as usual. >> pelley: do you see any of this changing, bob? >> schieffer: you know, frankly, i don't. and i don't think it will until both sides find some things they can work on together to make it better. but i'm still not sure either side is ready to put aside the politics and do that. yet, how bad is this? i mean, when people were saying today it's good news that unemployment has gone from 9.2 to 9.1? that just tells you how deep this hole is where we find ourselves. it's pretty bad when 9.1% unemployment is going on, and that's hailed as glad tidings. >> pelley: thanks, bob. sunday on "face the nation," bob's guests will be david axelrod, republican senator lindsey graham of south carolina, and former democratic national chairman howard dean. in new orleans today, a federal jury convicted five current and former police officers in the shooting deaths of unarmed civilians six days after hurricane katrina. bigad shaban reports on the case that has focused national attention on police corruption. >> it is going to be all right because justice has been served. >> reporter: sherrell johnson has been waiting six years for this day. her 17-year-old son, james brissette, was on the danziger bridge looking for food when he and five other unarmed people were confronted by police. the officers claimed they were responding to a report gunmen were shooting from a bridge. the police opened fire as soon as they arrived. brissette was shot nearly a dozen times. he and another man were killed. the officers then covered it up, falsified report, and planted a gun at the scene. >> the citizens of this country will not, should not-- and we intend that they will never-- have to fear the individuals who are called upon to protect them. >> reporter: the bridge shooting became a symbol of police abuse in the chaos following hurricane katrina. ronal serpas is the new chief of police in new orleans. >> it's clear that our department failed in some critical ways in the post- katrina environment. >> reporter: serpas is now working with the u.s. justice department to reform a police force that had become notorious for corruption. >> our department as a whole has continued to provide an excellent service but this is a damaging moment. this is a damaging issue. >> reporter: to change that, serpas instituted a 65-point reform plan. and since becoming chief, he's fired 35 officers and suspended more than 200 others. in all, more than one in 10 members of the new orleans force has been disciplined. >> no question that anything that was broken here can be fixed. it can be. >> for sherrell johnson, the pain is still fresh, still real. justice brings some comfort, but little else. >> it took the twinkle out of my eye, the song out of my heart. >> reporter: the five officers found guilty today will be sentenced in december, and, scott, four of them could face life in prison. >> pelley: thanks, bigad. the most compelling pictures that we've seen today come from a city bus in philadelphia. this story started with a slap and ended nearly in a massacre. after a passenger on this philadelphia bus chastised a young mother for hitting her son the mother made a call. when she got off the bus, prosecutors say her friends were waiting with weapons. on board, frantic passengers ran to the front door as the firing began. an 80-year-old woman was frozen in the aisle. now, keep an eye on the windows to the left. moments after the woman dropped to her knees, a bullet blasted through. all this happened in june. no one was hit, but the gunmen and the mother are facing trial. millions of somalis are in danger of starving to death. what's being done to try to save them? roadside bombs from pakistan are flooding into afghanistan, killing and maiming american troops. and the sermon on the hill-- blessed are the deal makers when the cbs evening news continues. to save some money on our car insurance. great! at progressive, you can compare rates side by side, so you get the same coverage, often for less. wow! that is huge! 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>> there are over 400,000, so more than four times the number for which it was built. and that number increases every day because some 1,500 tired, frightened, exhausted refugees arrive from somalia. >> pelley: what is that trip like for them, coming from somalia to the refugee camp there in kenya? >> we have heard horrific stories from refugees. we have heard stories of women being attacked and raped by militiamen or bandits. we have heard stories of children dying on the way, or being left behind because they are too weak to walk. so really dramatic, terrible stories of human suffering. >> pelley: how many people, if it's possible to say, would you reckon are in danger of starvation at this point? >> millions of people inside somalia are at risk of starvation, and we estimate that already tens of thousands have died of hunger. so the situation in somalia is extremely difficult. the u.n. refugee agency will start humanitarian airlift of urgently needed supplies into mogadishu next monday. >> pelley: william spindler of the u.n. high commissioner for refugees, thank you very much. >> thank you. >> pelley: syria's government said today it has retaken control of the rebellious city of hama. amateur video appears show the army continuing its assault on civilians there. at least 100 people have reportedly been killed in hama in the past six days. there were protests throughout syria today. tens of thousands demanded president al assad step down. there has been a sharp increase in the number of american soldiers losing limbs in afghanistan. what's behind the surge in roadside bombs coming next. with an irregular heartbeat called atrial fibrillation, or afib, that's not caused by a heart valve problem. today we have pradaxa to reduce the risk of a stroke caused by a clot. in a clinical trial, pradaxa 150 mg reduced stroke risk 35% more than warfarin. and with pradaxa, there's no need for those regular blood tests. pradaxa is progress. pradaxa can cause serious, sometimes fatal, bleeding. don't take pradaxa if you have abnormal bleeding, and seek immediate medical care for unexpected signs of bleeding, like unusual bruising. pradaxa may increase your bleeding risk if you're 75 or older, have kidney problems or a bleeding condition, like stomach ulcers. or if you take aspirin products, nsaids, or blood thinners. tell your doctor about all medicines you take, any planned medical or dental procedures, and don't stop taking pradaxa without your doctor's approval, as stopping may increase your stroke risk. other side effects include indigestion, stomach pain, upset, or burning. if you have afib not caused by a heart valve problem, ask your doctor if pradaxa can reduce your risk of a stroke. can be even more powerful, with precise pain relieving cream. it blocks pain signals fast for relief precisely where you need it most. precise. only from the makers of tylenol. summertime is now a happy time. a time when we can eat what we want, drink what we want, and sleep soundly through the night. unlike antacids, one prevacid®24hr pill prevents the acid that causes frequent heartburn for 24 hours. choose prevacid®24hr and see why 9 out of 10 users say they're satisfied. so relax. enjoy. with prevacid®24hr, happiness is a day without heartburn™. so relax. enjoy. >> pelley: in afghanistan today, one american was killed and two were wounded. a lot of these casualties lately have come from a surge in roadside bombs, and we asked david martin to check in on some of the young americans who have survived these attacks and are working to rebuild their lives. >> reporter: marine sergeant marshall kennedy is the victim of an alarming trend-- fertilizer bombs originating in pakistan, dismembering american servicemen in afghanistan. he is one of 17 marines who lost two or more limbs in afghanistan during the month of june, the worst month ever for that war. five other marines lost a single limb that month. >> when you step on it, there's that very millisecond of knowing you just stepped on something. you know, you can't-- you can't express anything through your mouth or by words in that short time span, but in your mind you're like-- you knew what was going to happen. >> reporter: what happened to sergeant kennedy, who had already done two tours in iraq and has the names of five buddies who died there tattooed on his arm, was a double leg amputation, one above the knee and one below, plus some nerve damage to his arm. it was the second time he'd stepped on an i.e.d. the first one was a dud. you have a close call in april, and then you get hit in june. i mean, it-- the place is just crawling with these i.e.d.s? >> it is. >> reporter: where do all these homemade devices come from? in a word, pakistan. the overwhelming majority, 84%, use ammonium nitrate manufactured legally at two fertilizer plants in pakistan and smuggled illegally into afghanistan. with american troops getting out of their mind-resistant vehicles and patrolling on foot, the result has been a tripling in the number of multiple amputations. nine servicemen a month suffered multiple amputations in the first six months of this year, compared to three a month in the first six months of last year. army first lieutenant tyson quink stepped on the fifth i.e.d. his patrol had come across in just one day this past june. >> i actually said in my head when i blacked out, i guess this is what death feels like. you can still talk to yourself but you can't see. i was like, man, that's a terrible way to die. >> reporter: an estimated 480,000 pounds of pakistani ammonium nitrate have been used in i.e.d.s in afghanistan in the past year. do you know how big the charge was that got you? >> they said eight pounds. >> reporter: based on the going price of ammonium nitrate, it costs the enemy about $25 to make that device. david martin, cbs news, the pentagon. >> pelley: today the u.s. army announced that starting in january, the length of future deployments in afghanistan will be reduced from one year to nine months. army tours have generally been one year. in iraq, at the height of the surge, they were extended to 15 months. they are washington's ultimate power brokers, consulting daily with the highest power of all. their story is next. ay? that's me with the blow dryer and the flat iron until i see smoke. so pantene said, "breakage and split ends? no problem." they gave me this pantene called breakage to strength. 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