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the sickening scene of violence and looting. and one party is paying a bigger price over the showdown over the regular debt. stand by on whether members deserve to even be re-elected. im wolf blitzer, youre in "the situation room." wall street following big gains after some of its biggest losses of the year. the s&p and nasdaq also rebounded. the dow on a roller coaster all day after the federal reserves afternoon announcement about interest rates and future economic conditions. lits...

a ton of money. this hour, how hes dealing with the new messes that the country simply cant afford right now. and from the seat of power to an iron cage in a courtroom, the ousted egyptian president hosni mubarak goes on trial for allegedly ordering the killing of protesters. im wolf blitzer, youre in "the situation room." sort of vacation right now, theyre on leave while tens of thousands of american workers are going without a paycheck because of their inaction. a lot of new ange...

for this wednesday, august 3. we have just gotten confirmation that bomb squad officers in australia have secured the safety of an 18-year-old girl who was in a house with a suspicious device attached to her. the operation to free her lasted three hours, they say her life was potentially at risk. nearby houses were evacuated and neighboring streets closed off. ill talk to a reporter there in just a few minutes. stocks across the board are lower today, investors are worried about th...

>> we have complete coverage on every angle of the story. whats in the deal, how it came about and how all the various players in this debate are reacting. we are keeping an eye on where traders are reacting to news of a deal. we need to get to jessica yellen our chief white house concerned correspondent the president came out a short time ago and said it appears a deal is in the works. not the perfect deal but one that will keep america from going into default. >> thats right, don. i ...

but first, long islands serial killer. >> thats how we know that were dealing with a monster. a hannibal lecter. >> mysterious murders. and murders. >> four of the victims were found in a burlap-type material. >> kaj larsen traces the trail of a serial killer still on the loose. this is babylon, long island, an hours drive away from manhattan, and it is known for beautiful million dollar homes and secluded beaches. but that same isolation that people come here to seek, as of late, ha...

gay-straight alliance. he says suicidal feelings are common among gay youth and those questioning their sexuality. in fact, studies since the 1990s consistently show gay and lesbian youth having suicide attempt rates at least twice that of their heterosexual peers. his school district anoka hennepin has been hard-hit. the question is -- what role does school climate really play. >> we need an answer to this question. >> reporter: this is the only minnesota school district we could find...

meeting between the president and his top party leaders in congress? >> reporter: as far as we know, the president is meeting right now with senate majority leader harry reid and with leader pelosi from the house, the leader of the minority in the house. and we dont have details on this yet, its a closed press meeting, meaning we didnt even get our pool cameras inside to get a glimpse of this, but we know from a white house official that they are meeting here at the white house and wer...

well be live when it hams. yesterday speaker boehner told the troops to "get their asses in line". apparently not enough republicans have, and now his credibility is on the line. most of the opposition coming from tea party supporters, raw, open, direct rebellion. >> we want to make sure we never get here again. i want to support something that makes sure we never get here again. >> the deal that is on the table makes the hole deeper. and so dont -- you shouldnt expect people who belie...

motes. 22 republicans voted against it and all of the democrats. just before the vote, speaker boehner blamed president obama at the talks aimed at a bipartisan deal. >> i stuck my neck out a mile and i put revenues on the table. in order to try to come to an agreement to avert us being where we are. but a lot of people in this town can never say yes. a lot of people can never say yes. this house has acted and it is time for the administration and time for our colleagues across the ais...

tea party demanding more cuts in federal spending, a cap on future budgets, and a balanced budget amendment. but at a republican caucus meeting speaker of the house john boehner told everyone in his party, and i quote, "get your ass in line." and listen to senator john mccain. >> what is really amazing about this is that some members are believing that we can pass a balanced budget amendment to the constitution in this body with its present reputation, and that is foolish. that is wors...