about the same amount, sets up a bipartisan committee to find other ways to trim another trillion and change from the deficit. think of it as a deficit posse. it calls for both chamber of commerce eventually to pass a balanced budget amendment to the constitution. they don't actually have to pass it, they just have to vote on it. and the president and house speaker admit that the plan is not perfect, but hey, there's a deadline tomorrow. here's what the president said, then you'll hear from a freshman republican who, by the way, is dressed casually. give him a break, it was late on sunday night. >> now, is this the deal i would have preferred? no. but this compromise does make a serious downpayment on the deficit reduction we need and gives each party a strong incentive to get a balanced plan done before the end of the year. >> and to have bold changes to something so systematically broken is going to take time. i understand their frustration. this certainly is not perfect. i would have liked to have more cuts. but this is definitely a step in the right direction. >> cnn found what may be a discrepancy between the republican and democratic interpretations of the plan. it's about medicare. speaker john boehner's fact sheet says that it would get cut across the board. the white house says medicare beneficiaries are protected. we're going to try and get clarification. more details should come out after more members actually read the measure. >> you know, i haven't seen the legislation yet. i haven't had an opportunity to read it. >> too often we're asked to vote on legislation where we haven't even had an opportunity to read it. so i definitely want to read exactly what is in this deal. >> i haven't seen it in writing the final product. as you know with these things, the details on important. >> details are important. you can almost hear the world markets sigh with relief that the u.s. might avoid default. asian stocks rallied after president obama announced that a deal had been reached. we're joined in a moment from hong kong with details. u.s. stock futures, by the way, are way up this morning. remember last week -- you probably would rather forget how the market did last week. it was the worst week in more than a year thanks in no small part to the dithering in d.c. but that's what we're looking at this morning. look at the nikkei, the hang seng and ftse, all of them up. there are concern about what cutting government spending will do to the economy, however, with unemployment in the united states at 9.2%, the housing market lousy, people aren't buying stuff. this is not a great time for the u.s. government to go all scrooge on us. cnn money talked with economists about this. one said the cuts are relatively small and shouldn't have a huge impact. another said the cuts could be the straw that breaks the camel's back. economically speaking. so is the u.s. okay with moody's now? remember, the ratings agency said it would put the nation's bond rating on a review for a possible downgrade for the chance that august 2 would come and go without movement on the debt ceiling. here's what moody's chief economist told cnn. >> listening to what they have to say, i think this would be sufficient, yes. you know, now all the rating agencies have different opinions. some may go down a different path. i think bradley speaking this is -- broadly speaking, if it comes to what they're discussing now, this is substantive and should avoid a downgrade. >> there is, however, another school of thought on this. i talked with invest guru brill gross, he runs pimco's total return fund. he predicts there will be a downgrade. democratic leaders in the senate hope to get thetuate going this afternoon and -- the debate going this afternoon and vote later this afternoon. a republican on a conference call with speaker boehner says the house will try and vote, as well. congress has to approve the bill, and the president has to sign it by tuesday. after all of this the u.s. will officially put the nation in procrastination. time for a check of world markets. what a rally in the asian markets. the hang seng and nikkei closed up. let's go to our reporter from hong kong. what a difference a major hard-won debt deal makes. world markets have been reacting very positively to this. >> yeah, and there seems to be a lot of confidence in asia. investors have been cheering the prospects of an end to the u.s. debt deadlock, the nikkei opened more than 1% higher. it gained after the u.s. president, barack obama, announced a deal to raise the debt ceiling. there is more muted reaction in europe. stocks are climbing there, but less than 1% for the dax and cac 40. there's caution since the deal still has to pass in both houses of congress. back to you. >> news coming out of hsbc, they've got their earnings statement, and they are announcing job cuts even though the company's profitable. >> reporter: that's right, hsbc has announced it's going to lay off at least 10,000 employees worldwide, about 3% of its global work force. all part of the plan to cut costs over the next three years. hsbc has also announced its latest earnings figures. it came out in the last hour. its pretax profits came in at $11.5 billion for the first half of the year. that is up 45% from the second half of 2010. so that is very good news that hsbc really needs. since early january, the company's share price has fallen by more than 7%. >> we'll stay with us for the morning to see how things are developing. kristie lu stot. thank you very much. we have fairly quiet weather now. in the afternoon we'll get pop-up thunderstorm. we might have a tropical depression or tropical storm pot up before the day is done. the next storm would be emily, just east of the winward islands and heading toward the caribbean, northern part at least. the national hurricane center is pretty sure it will become a depression if not a storm. this is a look at some of the computer models which shows it potentially threatening the u.s. and will move around the caribbean islands. this bears watching closely especially if you live in florida or the east coast. the heat's going to continue to crank, dallas, oklahoma city, their streak of 100-plus days continues at 30 and growing. some of the heat will continue to grow up toward the north. 108 the expected high temperature in dallas. 100 in kansas city. this will stay with us, i think, across the day today. new york, you'll see evening thunderstorms. same deal with d.c. and philly. might see delays this, and san francisco some fog. traveling by car, and a lot of folks are this summer holiday season, ali, check this out. imagine if you're on a family vacation and you're driving down the interstate in memphis and a snake -- wow. >> i was wondering what that was. wow. >> pops out of the hood of your car and on to the windshield. >> what are you supposed to do about that? >> well, scream. especially the little girls in the back. i know i would be screaming like a little girl probably. then pull over and maybe through the windshield wipers on. >> i know the pullover part, i don't know what you do after that. there's a snake on the car -- crazy. >> poor snake. hopefully they eventually pulled over and got him to where he needs to be. >> that's a good one. i didn't see that coming. we'll check in with you later this morning. president obama and congressional leaders have agreed to a debt deal, but the bigger question -- will they have the support to get it passed before tomorrow's deadline? we'll talk about that on the other side. first, which newsmaker said he would run for president if "the republicans pick the wrong candidate"? find out after the break. ooo whatcha got there? uh oh, sesame stir fry from lucky dynasty. oh, me too! but mine's lean cuisine, so no preservatives. [ female announcer ] lean cuisine has 90 dishes with no preservatives and quality ingredients like farm-picked broccoli and tender white meat chicken. lean cuisine. they're itchy, dry and uncomfortable. i can't wait to take 'em out, throw 'em away and never see them again. [ male announcer ] know the feeling? get the contacts you've got to see to believe. acuvue® oasys brand contact lenses with hydraclear® plus technology, keeping your eyes exceptionally comfortable all day long. it feels like it disappeared on my eye. [ male announcer ] discover why it's the brand eye doctors trust most for comfort. if you have astigmatism, there's an acuvue® oasys lens for that too, realigning naturally with every blink. ask your doctor for acuvue® oasys brand. it is 12 minutes after the hour. this is your "a.m. wake-up call." who said they would run for president if "the republicans picked the wrong candidate"? not hard to guess. donald trump. the real estate mogul and realty star said this to cnbc when asked if he would consider running for the top office in the country. even though a debt deal is on the table, it's not over yet. jay leno is proposing a closeout sale on washington. here's the punch line. >> there's one thing politicians in congress hate, it's being told what to do by the people who put them there. you know? corporations pay good money for these congressmen, they shouldn't have to listen to a bunch of idiotic voters. exactly! as they say in washington, if it ain't broke, it will be by tuesday. if this debt limit thing isn't lifted, president obama's going to switch to plan b -- a nationwide going out of business sale, everything 50% off. all government buildings, all parts, everything must go. time for your political ticker with tim farley, host of "morning briefing" on sirius xm live from washington. good morning, tim. you know, a lot of fanfare about this deal that they reached last night and probably eight minutes passed before you were hearing from fiscal conservatives that some of them won't support it. and then from liberals that, well, maybe they won't support it either. this debt deal, is it going to get through? >> i don't know, but doesn't it sound -- if people are angry on both sides of the aisle, doesn't that usually mean it's the right thing to do at this point? that's kind of the way it turns out. it's going to have to go through the senate and house. looks like it will probably happen at some point today. you've hit the question right this, how much are they going to coalesce behind their leadership, ali. >> and that's -- the house is probably more a problem than the senate. it's going to be a priority for john boehner and for nancy pelosi to sit around and hold their noses if they have to, but figure out whether they have the votes for this. >> yeah, exactly. the pushback from the left is where are the tax increases. from the right, look, this isn't doing that much altogether. what it really does, and i think you made this point, is that it pushes off a lot of the hard decisions to the committee who will have to make calls six months down the road. and that will mean that the house and senate will not really have to make any tough decisions. and by the way, we have this little thing called the fiscal year which ends september 30. and there are yet 11 spending bills to be passed. they haven't even been touched yet. >> oh, they'll get it done. talk to me -- >> september 29! >> talk to may about the straw poll in iowa. it's two weeks away. what is it, and why is it important? >> this is the first vote really of voters in iowa. and this is not like -- the typical ballot. it is a blank sheet of paper. people actually sponsor this voting. but it does not include on the ballot sarah palin or rick perry, but as i said, a blank sheet of paper goes out so people get the chance to vote on whomever they'd like it vote for. herman kaine of all people picked up a win in the western conservative summit. a straw poll that took place over the weekend in denver. 48% of the vote. a surprise. and rick perry was second. he is scheduled to make a decision in the next couple of weeks about running for president. be interested to see how it turns out with the ames, iowa, poll, again, on the 13th, a couple of weeks away. >> hermion cain's support is not wishy-washy, it's not big but solid. have a great show. tim farley of "the morning briefing" on sirius xm. and a suspect, anders breivik, did shopping on ebay for a full face hess operator and hazmat suit. not a surprise. a manifesto thought to be authored by breivik mentions the site over and over saying, "ebay is your friend." he might change his tune. ebay's people say they're helping police investigate the bombing and shooting spree that killed 77 people. amy winehouse was reportedly in the middle of adopting a 10-year-old caribbean girl when she died. you heard this right. britain's "mirror" newspaper reports that winehouse wanted to be an adoptive mom to a girl named danica from st. lucia. the girl told the paper, "amy was already my mother. i would call her mom, and she would call me her daughter." winehouse's attorneys had already contacted the biological parents. a new law makes it illegal for professors and pupils to have private relationships on any social networking sites. that means exclusive relationships on myspace, google-plus, and other sites are off limits. the point is to curb sexual misconduct between teachers and students. the wording of the law leaves room for teachers to keep public pages for class use. one way for drivers to sidestep high gas prices is to go hybrid or get an electric vehicle. minorities apparently are not biting. that's according to a new report by the green living institute. out of every ten hybrid owners in california, it says seven are white, two are latino, and fewer are african-american. the report blames high prices and a lack of consumer education. and from out of the blue, the smurfs tied for number one at the box office. the little blue dudes grossed more than $36 million, exactly how much "cowboys and aliens" took in. the western science fiction mash-up underperformed despite the a-list cast. maybe folks were busy watching "debt ceiling," the realty drama on capitol hill this weekend. traders around the world have been keeping a close eye on america's dealingdbt ceiling dr. first, grab a slice of pie on your way to work. august 1 is national raspberry cream pie day. i think we're scraping the bottom of the barrel on this one. [ male announcer ] this is the network. a network of possibilities. excuse me? my grandfather was born in this village. [ automated voice speaks foreign language ] [ male announcer ] in here, everyone speaks the same language. ♪ in here, forklifts drive themselves. no, he doesn't have it. yeah, we'll look on that. [ male announcer ] in here, friends leave you messages written in the air. that's it right there. [ male announcer ] it's the at&t network. and what's possible in here is almost impossible to say. 21 minutes after the hour. this is your "a.m. wake-up call." here are three things to put on your radar today. are you spending more money or making more of it? at 8:30 a.m. this morning, personal income and spending figures will be released. economists are hoping for a slight increase. these are numbers for july. lawmakers head back to capitol hill this morning for votes on the debt deal. we'll we will bring you the latest developments through the day as that happens. and we're closely watching a storm brewing in the tropics, as rob mentioned. we could be watching a newly named tropical storm, emily, later today. let's go around the world with zain verjee live in london. while we've been obsessing over the debt debate, there's some bad stuff happening in syria. forces rolling in with tanks, clashing with protesters. at least 71 people are reported dead? >> reporter: yeah, even more now, at least 100 people is what human rights groups are saying, ali. just take a look at this video. i mean, it is some of the most brutal, violent video that we have seen since the protests started in march of this year where protesters were basically calling for a change in government. they want bashar al assad out. cnn cannot independently confirm the authenticity of this video. but this is the scene over the weekend in hama. tanks stormed in, protesters were fired on, smoke was seen rising in different parts of the city. you can hear the exchange frequently of gunfire in the piece of video that we're showing you now. now the government itself, ali, is saying that they had to go in there because they said they were arm -- there were armed terrorist groups, gangs, storming the city. and they had to just go in there and take control. the u.s. president, barack obama, upon hearing these report and looking at the video said that this was absolutely horrifying. it was brutal, and the u.s. needs to put more pressure on the u.s. to -- on them to stop what was happening. >> incredible. have you heard about the amy winehouse thing where she was apparently trying to adopt a child in the caribbean? >> reporter: in st. lucia. yeah, there were suggestions that that was the case and that she had taken some legal action to adopt a 10-year-old girl. and obviously the girl is totally devastated. it's unclear how far along they were in the process. but she was looking, according to reports, to adopt a child from st. lucia. >> wow. we'll check in with you later. zain verjee for us in london. serena williams is back in the win column. she won something, but i don't know what it is exactly. i'm going to tell you about that in a minute. football superstar peyton manning just signed a new deal with the colts. the numbers are staggering -- $90 million over five years. but the colts actually offered him more money and he said no. huh? he's taking less so the team can sign other players. wow. looks like plaxico burress is heading to the jets. they've agreed to a one-year, $3 million deal. he was released from prison in june after serving time on a gun charge after accidently shooting himself in the leg. and here's my serena story. serena womens won her first title in a year at the stanford classic winning 7-5, 6-1. she's been beset by problems. this is no doubt good for her because the u.s. open is coming up. and we'll have the top five entrepreneur myths coming up. ooo whatcha got there? uh oh, sesame stir fry from lucky dynasty. oh, me too! but mine's lean cuisine, so no preservatives. [ female announcer ] lean cuisine has 90 dishes with no preservatives and quality ingredients like farm-picked broccoli and tender white meat chicken. lean cuisine. announcer: when life's this hard, it's no wonder 7,000 students drop out every school day. visit boostup.org and help kids in your community stay in school. good morning, it's monday, august 1. this is your "a.m. wake-up call," i'm ali velshi joining you-from new york. 28 minutes after the hour. for money news, we have christine romans in new york. wow, six days of bad markets leading into this debt debate. and the bad gdp numbers -- i think we're going to get a break this morning. roy >> reporter: i'll take your six days and raise you to a month. the dow was down 2% for the month 4,% for the week. the dow fell, there's been a steady drumbeat of economic reports that haven't been great. friday we'll get a jobs report. political risk for today, the week, friday jobs report futures looking better. dow futures up 133 points. but i guarantee you every little peep out of washington will probably move futures this morning and throughout the day. the stock prices. >> yeah. things are softening up in europe, in europe trading now. we'll have to see what happens. u.s. futures already a little lower than they were earlier. what about the u.s.' reputation? i know you've got thoughts this. >> reporter: i do. there's a lot of people who have been saying does the u.s. deserve a triple credit rating. even with the political uncertainty re