Government loses its ability to borrow money tomorrow, and a lastditch effort by the house to muster an agreement was sunk by hardlined conservatives, so this morning congress has its back against the wall with time about to run out. Susan mcginnis is in washington with the very latest. Susan, good morning. Alexis, good morning. We are strangely in almost exactly the same spot we were this time yesterday. All of the focus now is on the senate hoping for an 11th hour deal there. This is after a house plan that was introduced yesterday collapsed, bringing the resumption of this effort in the senate, but those efforts resume dangerously close to this debt ceiling deadline. Senate republicans and democrats worked through the night on a bill to reopen the government and avoid a default. Majority leader harry reid and Minority Leader Mitch Mcconnell quickly resumed their efforts after talks in the house fell apart. We felt blindsided by the news from the house, but this isnt the first time. The house balked at the senate plan and proposed its own. Again, adding provisions that limit the Affordable Care act. Trying to find a way forward in a bipartisan way that would continue to provide fairness to the American People under obama care. But Tea Party Republicans werent convinced, and the house bill died before it was even brought up for a vote. Conservative house members say their constituents agree the fight over the president S Health Care law is worth it. They understand theres a higher priens pl here. As of tomorrow the government will no longer have the authority to borrow money to pay some of its bill, putting the country at risk of defaulting on its loans. This isnt what russias doing to us. This isnt what chinas doing to us. This is what the house of representatives is doing to us. So hitting that debt ceiling does not necessarily mean that the country defaults. The country that has this 30 billion or so in cash on hand. When that money runs out, alexis, it depends largely on the economy and tax revenue. Well be watching. Susan mcginnis in washington. Thanks. President obama expected the republicancontrolled house to resolve its budget differences with the senate to avoid a default. On tuesday the president blamed the stalemate on Republican Party infighting. Theres a faction there that believes any compromise of any sort is unacceptable, that theyve got to get 100 of what they want or at least a lot of what they want, and they havent been willing to engage with democrats over there. So were a little stuck in the house, but i remain optimistic that this will eventually get resolved. House republicans have twice tried to come up with a new compromise, but they failed to satisfy the president , senate democrats, or tea party conservatives. On the cbs moneywatch, stoxxer stock markets at home and overseas are dragged down by the impact, and the first look at health care enrollment. Asian markets were mixed as fiscal negotiations continue in washington. Hong kongs hang seng lost half a percent. Tokyos nikkei gained half a fraction. On wall Street Investors were nervous with time quickly running out as the u. S. Hits its Borrowing Limit tomorrow. The Dow Jones Industrial average plunged 133 point whiels the nasdaq shed 21. After the market closed the Credit Rating fitch could create a ding to the United States perfect credit score. Fitch placed the aaa rating on a negative watch and is now reviewing the countrys credit worthiness with a downgrade. Fitch, however, says it does except congress to raise the debt ceiling. Back in august 2011 you may remember the Credit Rating Agency Standard poors downgraded the u. S. To an aaplus status. It could have costly deficits. The u. S. Governments been forced to borrow to make ends meet. To do that, washington sells Government Debt in the form of treasury bonds. Treasuries are considered the cornerstone of the Global Financial system because the u. S. Owes so much, more than 16 trillion, and because Investors Trust the u. S. To honor that debt. Treasuries are considered one of the safest and most reliable bets. A default means the u. S. Wouldnt repay those debts, making the treasuries riskier investments causing higher interest rates. That would tie everything from Mortgage Loans and Student Loans to cost you more. The Obama Administration predicts more than 7 million will sign up for obama care in the first year. It includes a state by statebreakdown. For example, 1. 3 million are expected to enroll in california. 629,000 in texas and 213,000 in new york. Theres warning about a contaminated antibiotic on the market this morning we need to tell you about, an injectable drug made by b. Brawn medical is under recall. Vials have been contaminated with floating particles including metal, cotton, and hair. They post adderall tuesday for lot h3a7444. If the federal government does default, the effected would be felt well beyond the u. S. Anthony mason spoke with an expert on the global economy, former Federal Reserve chairman Alan Greenspan. They may very well decide to pay interest on the debt and to whom does it go . China. And what dont you pay . Social security. That is a political system which will not hold together. I think well ultimately resolve it, but the shock to the system, i think is not necessarily permanent but really debilitating. So were playing with fire. Indeed we are. There is a psychological impact which i think at this stage is indeterminate. You dont want to test it. Id just as soon not. Because nobody really knows, right . I dont think so. Everyones guessing. I know they are. I know they dont know. You can see more of anthony masons interview with Alan Greenspan this sunday morning. Central Florida Police charged a 12yearold and 14yearold girl with grag vated stalking in connection with the aleveraged Cyber Bullying suicide of a 12yearold classmate last month. Anna werner reports. Reporter police say she was relentlessly tormented by two classmates for a year. The arrest was made after the 14yearold boasted about the bullying on the internet. Sheriff grady judd. She made a comment in reference to, yeah, i bullied rebecca and, yeah, shes dead, but i dont give a blank. We saw that and thats over the top. Reporter the 14yearold and her 12yearold accomplice allegedly harassed her at school and followed her online. The taunts included you should drink bleach and die. No one likes you. And you should go kill yourself. Sedwick jumped off a tower after writing friends, i am jumping, i cant take it anymore. We spoke to her mother Trisha Norman last month. I want them to pay for it because they took my baby away. They took her confidence away. They took her selfworth away. They just and now shes gone from me. Reporter the sheriff hasnt ruled out charging the suspects parents. If you cant supervise your child, if they dont behave, take away their devices. Dont allow them to have facebook. Reporter so who do you blame more here, the girls or their parents . I blame them both equally. This incident goes way back to november and december 2012 with fights, with intimidating, with terrorizing rebecca sedwick, so the defendants parents knew she was bullying. Reporter the two suspects are now under house arrest. If convicted the sheriff said theyre unlikely to face any jail time because this would be their first offense. Anna western never, cbs news, winter haven, florida. Police arrested an employee at los angeles evinternational airport in connection with the dry ice explosions at the airport. A dry ice explosion went off sunday night in an employee restroom. Three other devices were found at a terminal on monday but only one exploded. No one was injured but some flights were delayed. Police say they were not the acts of terrorism but that of a disgruntled employee. Hes being held on a 1 million bond. Coming up on the morning news, deadly tie footnote. It left more than a dozen dead. This is the cbs morning news. Dozen dead. This is the cbs morning news. My asthmas under control. I dont miss out. You sat out most of our game yesterday asthma doesnt affect my job. You were out sick last week. My asthma doesnt bother my family. You coughed all through our date night i hardly use my rescue inhaler at all. What did you say . How about every day . Coping with asthma isnt controlling it. Test your level of control at asthma. Com, then talk to your doctor. There may be more you could do for your asthma. [ clears throat ] hi. What did you do to deserve that thin mints flavor coffeemate . Its only one of the most delicious girl scout cookie flavors ever. I changed the printer ink. [ male announcer ] try coffeemate girl scout cookie flavors. [ male announcer ] try coffeemate the was a truly amazing day. Without angies list, i dont know if we could have found all the services we needed for our riley. For over 18 years weve helped people take care of the things that matter most. Join today at angieslist. Com or giving the dog a workout, find your balance™. Every delicious balance bar® has 403030 balanced nutrition to give you energy that lasts. Balance bar®. Have you found your balance™ . [ dog barks ] a powerful typhoon is lashing japan this morning and is blamed for 14 deaths. It brought tokyo to a standstill and grounded hundreds of flights. Elsewhere in japan the vicious storm caused mud slides and flooding and destroyed dozens of homes. People are missing. The earthquake in the philippines grew. Rescuers found just three survivors in the rubble and say there is little hope of finding many more. The u. S. And five other nations resume a second day of historic negotiations with iran and switzerland today. Iran outlined a proposal tuesday to end a decadelong standoff over its nuclear ambitions. The tehran government is anxious to reach a settlement that it hopes will ultimately lift economic sanctions that have crippled its economy. Here in the u. S. The accused mastermind of the u. S. Embassy bombings in east africa appeared without bail. He appeared in federal court on tuesday. Marlie hall reports. Reporter Abu Anas Al Libi pleaded not guilty to the Embassy Bombings that killed 29 people. The 49yearold terror suspect who now has a thick gray beard appeared frail. He wore sweat pants, a sweatshirt, sandals, and handcuffs as he was arraigned in a federal courtroom in new york. U. S. Commandos snatched al libi off the streets last week. He was taken to a u. S. Warship in the mediterranean and questioned by counterterrorism experts. The investigation was cut short because al libi refused water and food and needed to be treated for chronic hepatitis c. Through an interpreter he does not read or understand english. He wanted to be treated by his full name, nizih abdulhamed al ruqai. Cbs this morning Senior Correspondent john miller says prosecutors may present a potential smoking gun witness at al libi triechlt hes a former captain in the egyptian army. He joined the u. S. Army and taught special forces at ft. Bragg. Officials say he was an al qaeda double agent who could testify about helping al libi. Plan the bombings in tanzania and libya. That would be the kind of witness that gives direct evidence. Reporter al libi was treated as a flight risk and a security he was sent back to jail. Marlie hall, c bbs news, new yo. Straight ahead, your wednesday morning weather. And in sports the lights were out in detroit, and so was the tigers offense. Hold it steady now. I know daddy. [ dad ] oh boy, fasten your seatbelts everybody. [ mixer whirring ] bounty selectasize. Its the smaller powerful sheet, that acts like a big sheet. Look one selectasize sheet of bounty is 50 more absorbent than a full size sheet of the leading ordinary brand. [ humming ] [ dad ] use less with the small but powerful picker upper. Bounty selectasize. And try bounty napkins. Why would i take one pepcid® when i could take tums® throughout the day when my heartburn comes back . cause you only have to take one. [ male announcer ] dont be like the burns. Just one pepcid® complete works fast and lasts. Its not a candy bar. 130 calories 7 grams of protein the fiber one caramel nut protein bar. Get in on the fun. The fiber one. During the Petsmart Fall savings sale save up to 20 on thousands of items and save up to 6 on wellness® dog food, including new small breed toy and senior recipes. Wednesday morning weather. Heres a look at todays forecast in some cities around the country. New york, mostly cloudy, 68. Miami, partly sunny, 86. Chaurks mostly cloudy, 58. Dallas, 63, now for a check of todays national forecast. Flood alerts stretch from western texas through louisiana and arkansas today as rain slowly moves through. Expect scattered showers in western new york, pennsylvania, west virginia, and around the great lakes. 1 to 4 inches of snow will fall in the mountains of california and new mexico and up to 3 in the Higher Elevations in montana. In sports the st. Louis cardinals are one win away from the world series. In los angeles, game four of the National League championship series, Matt Holliday put the cards up 30 with a long tworun shot off ricky nolasco. Shane robinson hit another off the top of the outfield wall. The cards beat l. A. , 42. And in detroit, game three of the alcs was held up for 17 minutes when the lights went out at comerica park, but the tigers power outage continued. Bostons john lackey shut out detroit, striking out eight. The games lone run was this mike napoli homer off justin verlander. The sox beat detroit, 10 and hold the series lead. Game four is tonight in detroit. When we return, another look at this mornings top stories. The Supreme Court takes on the hot button issue of affirmative action in college admission. Affirmative action in college admission. [ male announcer ] staying warm and dry has never been our priority. Our priority is, was and always will be serving you, the American People. So we improved Priority Mail flat rate to give you a more reliable way to ship. Now with tracking up to eleven scans, specified delivery dates, and free insurance up to 50 all for the same low rate. [ woman ] we are the United States postal service. [ man ] we are the United States postal service. [ male announcer ] and our priority is you. Go to usps. Com® and try it today. Or tripping the light fantastic. Find your balance™. Balance bar dark chocolate crunch has 403030 balanced nutrition to give you energy that lasts. Balance bar® dark. Have you found your balance™ . Out today. Both sides continue contract talks this morning. How a trip to disneyland may helped move things along. Plus huge flames leaping up from a contra costa coun home. What prevented fire crews from using water on t the fire. And the alarming sounds heard by neighbors. And its a simple plan to ft crime. Wait until you see where police in one east bay area city want an extra setf eyes. Join us for kpix 5 news this morning. Beginning at 4 3 good morning. Its wednesday, october 16th. Im ,, heres a look at todays forecast in some cities around the country. Washington, d. C. , mostly cloudy, 76. Atlanta, mostly cloudy, 76. St. Louis, partly sunny, 64. Denver, sunny, 55. Seattle, 61 degrees. And heres another look at our top stories. Senate leaders say they may be able to come up with a deal to end the Government Shutdown and avert a first ever default by the u. S. Treasury. Hardlined conservatives shot down a plan by the house to end the stalemate. And police in Central Florida charge add 12yearold and a 14yearold girl in connection with the suicide last month of a 12yearold classmate. Michigans decision to end affirmative action in College Admissions is now under review by the nations highest court, which includes one justice who admits she benefitted from the policy. Tara mergener reports. Reporter protesters urged the Supreme Court to overturn an affirmative action ban in michigan. In 2006 voters in that state passed proposal 2, stopping public universities from giving minorities preferential treatment in College Admissions. Alc lawyer Mark Rosenbaum told the justices the ban is unconstitutional. The number of black students are down by about a third since this passed. Latino students are down by about 12 . Reporter Justice Sonia sotomayor who said she benefitted from the ban but others appear ready to uphold it. Chief jutice john roberts said, quote, we want to take race off the table and achieve diversity without preferential diversities. A handful of other states have laws like the one in michigan. The courts ruling could determine whether other states try to pass similar measure. Jennifer grant would like to see grants nationwide. Nearly 20 years ago the university of michigan rejected the honor student while accepting minorities with lower gpas. Protective policies are ones that protect race. That is in my mind at odds with what affirmative action was intended to be. Reporter a decision is expected next year. Tara mergener for the cbs news, the Supreme Court. A marine science instructor found a very bizarrelooking fish off southern california. More than a dozen people helped drag the carcass of this 18footlong serpentlike oarfish to shore. Police tell you to keep your car doors locked to keep out burglars. In truckee, california, its to keep out bears too. For the third time in two weeks a bear managed to get inside a car and lock the doors. Police broke out windows to let it out. Coming up this morning on cbs this morning, the former ceo of shell oil, john hofmeister. Im alexis christoforous. Ooirks shell oil, john hoff meister. Im alexis christoforous. 17. 99 all basic guys arizona jeans 50 off all samsonite luggage, and 4. 49 all okie dokie matchups. Plus, for 4 days only starting friday get a coupon at jcp. Com for an additional 10 dollars, 15 or 20 off. Jcpenney. More than 50 times a day . So brighten your smile a healthy way with listerine® whitening plus restoring rinse. Its the only rinse that makes your teeth two shades whiter and two times stronger. Listerine® whitening. Power to your mouth. 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At t uverse high Speed Internet. Now on our newly expanded advanced Digital Network, a connection your whole house can count on. A connection your whole house can count on. Former Army Captain William Swenson receive add medal of honor tuesday at the white house. It was for his extraordinary courage during a fire fight with the taliban in afghanistan in 2009. David martin has the story and the pictures. Reporter this is captain will swenson in the Opening Hours of the battle for which he would receive the medal of honor. We had an enemy that was within hand grenade range. 30 yards. Approximately. And youre taking direct fire. Were taking direct fire. Sergeant Kenneth Westbrook was badly wounded and a medevac helicopter had come to pick him up. Swenson and one of the crew helped westbrook to the helicopter. And he gets to walk off that battlefield on his own strength with our support, but he has to walk off that battlefield. Why is that so important . Here is an opportunity for the westbrook family to see their soldier walking off that battlefield, regardless of the severity of his wounds. This video taken by helmet cams worn by the medevac crew was a revelation to swenson. I had not known the existence of that video and i could not remember that moment. I couldnt look back and see that moment in my head, in my memory, and so it was lost. Reporter but now its found, including the moment when swenson gave the man he had been fighting side by side with for almost a year a kiss. You know, we had a moment we looked at each other. He almost had a smile on his face. Did you ever see him again . I never saw him again. One month later he passed away at walter reed. Swenson turned back to the battle and to the search for four missing marines. By the time he and marine corporal dakota meyer, who has already received the medal of honor, got to them, they were all dead. Dakota, myself, and a contingent of afghans moved in the trench and we began the horrible task of bringing those marines off the battlefield. Reporter when it was over and all the wounded evacuated, swenson delivered a scathing sworn statement about the lack of artillery and air support that day. When im being secondguessed by somebody sitting in an air conditioned operations center, why the hell am i even out there in the first place. Were you bitter . I definitely had some choice commentary. Was i bitter . I was angry. He quit the army thinking his angry words had ruined his career. Those choice comments sometimes chase you down. But swenson missed being a soldier, so now the First Army Soldier who received the medal of honor is asked to come back on active duty. David martin, the cbs news, the pentagon. Coming up after your local news on cbs this morning, Senate Negotiations to end the fiscal crisis. Well get an update from capitol hill. Plus, a second undercover cop has admitted involvement on the biker attack on an suv. Well hear his side of the story. And tupperware ceo rick goings joins us in the studio. Thats the cbs morning news for this wednesday. Thanks for watching. Im alexis christoforous. Have a great day. Captions by vitac www. Vitac. Com , and im Frank Mallicoat time is 4 heres good morning. Its wednesday, october 16. Im michelle griego. The weekend is approaching hi, everyone. Im Frank Mallicoat. It is nearly 4 30. Well get you out the door with traffic and weather. How about that weather yesterday in. Nice. Beautiful. We are going to do it today. A lot of sunshine around the bay area. Cool to start in spots but its going to william up nicely. Well talk about that coming up. All right. The big traffic headline, bart trains are rolling. No strike. They did leave the yard on time. No delays for the bart system or any local transit. Ill have more kcbs traffic in a minute. You got a reprieve. We all did. Thank you. But we begin with some breaking news out of Pleasant Hill this morning. Loud explosions coming from this hou fire scaring neighbors in the dove court neighborhood there. The fire started around 1 30 this morning and when firefighters got there, the house and the cars in the driveway were in flames. Firefighters say the explosions happened near the cars. Downed power lines made it difficult to fight the fire but it didnt spread. Bart trains are running this morning and contract talks resume in a