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both of you. >> thank you, kyra. we start in texas. exhausted fire crews are battling an enemy is astonishing and relentless wildfires burning somewhere in the state for nearly ten months without any break. today is the 296th consecutive day of work for those firefighters. just in the last week, 120,000 acres have burned. more than 700 homes have burned since sunday and then near austin, a blaze has killed two more people raising the overall death toll to four. jim spelman is in bsatrop near the largest fire in the state. are crews making any progress at this hour? >> good morning....

more than 2.5 million homes and businesses are still without power. the death toll has risen to at least 43. and thousands of people have evacuated from flooded neighborhoods and communities. yet, flood advisories are still in place for portions of seven states. one of the towns hardest hit is little falls, new jersey, along the passaic river. mary snow is there with the latest. mary, this is the worst flooding in a century there. are things improving at all? >> reporter: it's hard to believe that looking at the river behind me things are improving. take a closer look at the passai...

good morning. it is friday, august 26th. welcome to "american morning." it's all about the hurricane today. >> i wish i could say happy friday, happy friday for those not living along the northeast coast. >> and whom it hasn't reached yet. >> exactly. let's talk about hurricane irene. now said to be a massive and powerful category 2 storm sitting just off the east coast. 50 million people could feel its force by this weekend. new hurricane warnings are now up, they stretch from north carolina to new jersey. states of emergency have been declared as far north as new england. >> irene ...

people can feel like they can have control over now, if you can get through to the bankers. >> we're trying and it's not cheap to refinance. >> that's right. >> you have to think about whether you want to do that. >> if rates go low enough, it's good to check it out. >> it's friday. >> yes. >> yeah. although the week started off well, the realization that a second recession may be drawing closer is hammering stocks this morning. actually futures. here in the united states, the dow dropped 420 points or nearly 4% yesterday, stripping away this week's gains and then some. adding to the...

presidential election. >> the caucuses aren't until it's winter, until snow on the ground. >> at least it's been entertaining. up first texas governor rick perry on the attack in new hampshire. hit the ground running and hitting president obama hard calling his handling of the economy a disaster. he's not backing down from his verbal assault in iowa this week on fed chairman ben bernanke. here's what governor perry said. >> if this guy prints more money, between now and the election, i don't know what you all would do to him in iowa, but we'd -- we would treat him pretty ugly down ...