after the dust mercifully settled, a bit of good news from silicon valley. cisco systems, which has had its own struggles lately, reported a better than expected quarter's worth of earnings. shares moving higher in evening trading. we will see if it carries over until tomorrow. meanwhile, if you own an ipad or iphone, you contributed to this -- apple today for the first time closing the day as the world's most valuable company. it passed exxon mobil by $7 billion. a sign that while oil is still profitable, it's second to silicon valley technology. by the way, a winner again today was gold. the precious metal seen as a safer place to put your money than the stock market, hitting another record high. janelle? >> thank you very much, scott. if you think it's time to sell your gold, coming up in a few minutes what you need to know before you cash in your goods. it's been a disheartening week for an east bay community. in a part of the city that's ravaged by gang violence, even those who aren't in gangs become

victims. the 3-year-old boy who was shot dead on a busy oakland street, police say carl as nava was an innocent victim of a gang-related drive-by shooting. we bring in jodie hernandez live from oakland. >> reporter: they are told they are making progress but are releasing few details. but the situation is developing rapidly, and they're confident that the justice will be served. that's what's people have left, a makeshift memorial. people have been visiting the site all day long to grieve for the innocent life lost right here. >> she will never happen, never. >> reporter: the father of 8, victor morales, is one of hundreds stopping by this makeshift memorial to shed a

tear for 3-year-old carlos. the toddler after getting caught in the crossfire of a drive-by shooting monday afternoon. >> these are our babies, these are our kids. they need to have -- to find a safe environment, you know. so we can be free walk on the street. >> reporter: oakland police are putting all they've got into finding those responsible. sources say two people are in custody tonight. one a 26-year-old parolee with a history of possessing guns. >> this is very important. you know, so you can make an example. nobody's going to tolerate this anymore. we need to stand on our feet and fight back. >> reporter: the shooting has created a real sense of fear and frustration in east oakland, where parents like angelica roacha have had close calls with their own children. roacha and 2-year-old manuel recently had to duck and cover on a city bus as shots went off on the streets.

>> we were going to a doctor appointment. i had on this duck and cover him. it's kind of hard with the stroller, but i hurried and covered him. >> reporter: as folks mourn little carlos, they wonder who will be next, praying the violence won't touch those they love. >> i tell him every night that i love him. when i wake up, i tell him i love him. you know, you never know what's going to happen when you leave your house. >> reporter: a horrible way to live. we are back here live again. police say the shooting that took the life of little carlos nava was gang related. they're releasing few details on the investigation but say progress is being made, and they are confident once again that justice will be served. reporting live in east oakland, jodie hernandez, nbc bay area news. >> thank you very much. in other news, the two men accused of beating giants fan bryan stow outside of dodger stadium pleaded not guilty today. louie sanchez and marvin norwood are charged with mayhem and

assault in the march 31 attack. prosecutors say the case is not just based on witness identification but on admissions from both men. prosecutors say sanchez was overheard confessing to the attack in jail, and norwood confessed during an interview. sanchez's attorney withdraw his client's motion to reduce bail due to safety concerns and says he is still wading through all the evidence. >> there's a lot to go through. audiotapes, videotapes, documents, photos. there's a lot of stuff to go through. i want to make sure that i go through it thoroughly and give my client the best possible representation. >> police have portrayed sanchez as leading the assault on stow. prosecutors say he got physical with at least three other giants fans that same night and also faces battery charges stemming from those incidents. meanwhile, a positive update on bryan so it's condition. the family posted on their web site that stow can lift his arms, legs, and is responding to commands. the family said the best part was every time his sister bonnie

asked him to give him a kiss, stow would pucker his lips. he remains at san francisco general hospital. as of a few minutes ago, they're back in business. but for most of the day, an east bay bingo hall was closed. we have video of a dramatic smash-and-grab burglary. it's more than just a bingo hall. the business operates as a charity fundraiser for concord's blue devils drum and bugle corps and other youth programs. here's the scene. the camera capturing the 3:00 a.m. robbery, the spray of glass as a pickup slams into the building. the truck was stolen and abandoned about seven miles away. in the bed was the bingo hall's atm, which the thieves emptied. now police won't confirm the reports, but reports are that the atm contained approximately $5,000. >> i was stunned. the security company said the front door happen forced open. when i got here, there was no front door. the whole front wall of gone.

and there's a mess of glass and steel we'll have to clean up. and redesign the front so it's not so easy to get in. >> he had a chuckle about it. yes, they are back in business as of now. the hall raises funds not just for the drum and bugle corps but also for the food bank, swim club, and the concord high school marching band. tonight the military says an air strike by international forces has killed the taliban insurgentents who were responsible for downing a u.s. helicopter killing 30 u.s. special forces. general john allen says f-16 fire jets killed the insurgents. the attacks did not ultimately kill the taliban leader they were looking for. kevin houston, derek benson, and jesse pittman, three men with ties to the area, were among those killed in the insurgent attack. california tax revenue plunged last month. what does that mean? likely more budget cuts. the state controller's july report shows the state brought in nearly half a billion dollars less than expected.

about 10% less than the state budget calls for. sales and corporate taxes were the biggest disappointment. if this trend continues and here's the important part, the revenues drop below the billion-dollar mark. the budget governor brown signed earlier this summer calls for added mid-year spending cuts. primarily to schools, universities, and social services. for a lot of folks might be hard to concentrate on the state economy when so many pulling out their wallets to get their kids ready for school. >> the trip to target or wherever you go can bring in hundreds. kris, you can speak from experience, this is a busy time for kids and for parents on this. >> reporter: yes, although my experience is not very long. my girl is just going to kindergarten this year. i'm getting a baptism by fire. this time of year, there's really no shortage of back-to-school sales. you can find markers for a dollar, notebooks for 10 cents.

even with the extra-special deals, families are struggling not just to get kids clothed and backpacks filled now backfill what sacramento has taken away. >> it takes -- >> reporter: janet's third grade students come back to school on monday. that means today, she's at work. >> there's a lot of behind-the-scenes work that has to be done as a teacher. >> reporter: her to-do list is long, and so is her school supply list. in this economy she knows for some families that's tough. >> there does seem to be more stress and tension in that there is somewhat of a shift of children coming to school prepared to learn. >> reporter: back-to-school shopping can add up. a recent survey reveals that the average family of four plans to spend about $800 on back-to-school purchases. $290 on clothing, $110 on shoes, and $100 on school supplies. a different survey by the national retail federation expects total spending to reach $22.8 billion nationwide, up 7%

over 2010 and 31% higher than in 2009. as parents get their own kids ready, many are volunteering and fundraising to backfill what sacramento cut. peggy coske donates time to the nonprofit foundation. >> we raised over $300,000 last year and paid for over five specialty teachers. we paid for science teachers, art teachers, the technology treechb at williams. that's what makes it the great school that it is. >> reporter: for that, she's grateful even as she fears mid-year cuts could undercut what she, her student, and their parents are working for. >> i'm a little concerned about sacramento, that i can't do anything about that specifically. and that that could actually affect the learning of my children. >> reporter: now as raj mentioned earlier, the state budget is contingent upon $4 billion in anticipated revenue. and as he mentioned, it was already $500 million in the red for july. we won't know until january

whether these trigger cuts will kick in. but what we know is if those trigger cuts kick in for public education, k through 12, it could mean your kid could go to school seven days less during the second half of the school year. in san jose, kris sanchez, nbc bay area news. >> thank you very much. up next, how a decision today could simplify the lives of millions of people living with hiv. also ahead, the fallout from the nation's debt debate is far from over. why california's unemployed could be the next unintended target. and is the white house spilling secrets to hollywood? why the obama administration could be facing an investigation soon. and good evening, i'm chief meteorologist jeff ranieri. more sunshine today. even some 90-degree temperatures. very isolated. but as you can see now, a mix of sun and fog here in san francisco with the east bay close to those 90s now. we'll talk more about the summer forecast. yes, a cooldown ng

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unless you've been totally unplugged here, you know what's happening -- the stock market and possible double-dip recession. today another huge loss on wall street. however, gold tons climb to record levels -- gold continues to climb to record levels. it's predicted gold will reach $2,000 an ounce in the coming weeks. that means pawn shops are bracing for even bigger business. hold on here. nbc bay area news's marla tellez shows us a word of caution if you're thinking of selling your gold. the gold is green -- get rid

of the gold because i need the green. >> reporter: hazen choetae has been relying on this family-owned pawn shop since he got laid off. first he sold his gold chain, now he's pawning his bike. >> this is like -- the pawn shop really been taking care of me over the last couple of months. >> reporter: it's sad every day to see people needing money that badly and having to sell their jewelry. >> reporter: sad but true. r&j jewelry and loan owner jan schneider says she sees about 60 to 100 customers a day. of those, about 50% are already bringing in their gold. by some account, a gold chain that may have gone for $2,000 three years ago will bring in $4,000 today. but schneider says it's not always so lucrative. >> a lot of people who have dug through their jewelry boxes or what auntie zoe left, bring in just bags of things that are costume jewelry, and there's no

gold in it. people are scrounging. >> reporter: it's this desperation that has more people getting scammed by illegitimate businesses. schneider says beware of sketchy storefront like this one, where a handwritten note reads "cash for gold. call me." >> a lot of the businesses now because of the price of gold are not licensed, are not reporting, are not taking id. >> reporter: the owner says the number-one thing you should look for in the business is to make sure that business is licensed by the state of california, not just the city. in san jose, marla tellez, nbc bay area news. california is feeling the backlash from last week's vote in washington to raise the debt ceiling and cut spending. california's unemployment insurance fund ran out of money two years ago. and while the federal government stepped in with loans, california owes the treasury some $9 billion. washington is debating several plans to help california and other states which owe money, but the deal on spending cuts

changes everything. >> that means we're going to have to start owing the federal government interest. that comes due in september. and it could be more than $300 million that the state owes the federal government just in interest. >> if no changes are made by congress, employers will have to start paying more in their federal unemployment tax contributions starting in january. the state could cut unemployment benefits for jobless californians. here's one of the top stories. gizmoto is off the hook. that's not the case for the redwood city man who found an iphone 4 prototype in a bar and sold is to gizmoto. he's facing charges. brian hogan has been charged with one count of misappropriating lost property for selling that iphone to gizmoto, a web site that covers technology. hogan's associate sage wallower, was also charged. no one associated with gizmoto, who scored a huge hoop with the

sale of the phone, was charged. republicans are criticizing the release date of a new movie about the death of osama bin laden. it is scheduled to be released a few weeks before the next presidential election -- just in time to give president obama a major boost. republicans are also investigating high-level pentagon access that may have been given to the filmmakers. white house spokesman jay carney says the white house did not disclose classified information about the bin laden operation to filmmakers. the election is november 6, the film will be released october is 2. the fda has -- start over here. the fda has approved a pill for the treatment of hiv, and it's made in part by a bay area company. the drug is a combination of truvata and a johnson & johnson product. the single daily tablet will be sold as complera. gillead is based in foster city. the pill is considered a

significant step in simplifying the treatment of hiv patients who often have to remember to take several drugs at multiple times of the day. that's good news for gillead, based in foster city. let's look at our forecast with chief meteorologist -- chief meteorologist -- >> are we all stumbling? what's happening here? >> it's contagious. >> i know. i need more caffeine, too. i spilled my coffee all over my desk. >> oh, no. >> yeah. anyways. it is going pretty great for a lot of you. warming temperatures especially through the east bay. we'll talk about 90s in a in a moment. let's look outside. san francisco, the fog is coming back, but you had several hours of sunshine. right now that wind, northwest at 10, its breezy throughout our hills right now. even gusting up to 20 miles per hour out of the northwest. it is that northwesterly wind that gives us a spike in numbers. right now, one of our 90-degree temperatures was pleasanton at 91. livermore, not quite as hot with 86. south san jose with 86. and saratoga, mid 80s. some in the east bay slightly

above average. overall near average to below here as the fog continues to move in here across the bay area. you can see from san francisco down to san mateo we're looking at low 60s and some major impacts from the onshore flow and the wind. napa at 69. novato at 81. just because the wind is barreling right throughout the delta. and right now, still 79 in san jose. throughout the night, yes, the fog stays put. we're used to that this time of year. a cooling breeze. however, for thursday we'll go from breezy to actually windy here. winds out of the southwest 15 to 25 miles per hour. you know how we were tracking that possible heat wave for next week? at least some hotter weather? right now the models are backing off big time. and it looks as if the trend is actually going to be going cooler as we head into next week. now right now we are tracking a lot of dry air across the entire state of california, represented by this orange mass here on my map. so that really did help parts of the east bay with that wind to warm up today. we're kind of in the middle of things because we have milder air still across the northwest.

so's keeping us with warm conditions here. 80s inland yet again for tomorrow with the wind. as we head throughout friday, yes, fog is going to be coming back for the morning hours. we'll stick with breezy conditions. the fog comes back at the coastline tonight, peninsula toward the north bay. another morning where we start off with sunny skies in the east bay and also for the south bay. not too bad for your thursday. and by 11:00 a.m., it all clears out. and more sunshine coming on back. all right. let's get you the numbers for tonight. 56 in los gatos. 55 in san rafael. 52 in santa rosa. s and for tomorrow, remember, if you want to get an early, early start tomorrow, the perseids meor shower is happening. you've got to get up between 3:00 and 4:30 in the morning to get a nice view of that. we're kind of racing against the full moon which will be occurring in about two days. so get away from the city lights, and it should be pretty glorious. tomorrow, plenty of mid 80s as we head throughout the afternoon. 83 in santa rose a. 83 in

novato, 82 in san rafael. the possible heat we had in the seven-day forecast next week, look at this -- dramatic changes. we drop temperatures down tuesday and wednesday. all signs right now pointing toward a cooler trend as we head throughout next week. >> amazing. >> it is. >> middle of august and we're talking mid 80s. >> definitely, you know, cool weather for august. but not as cool as we had last year. that's for sure. >> okay. thank you very much. >> you're welcome. well, you be the judge. kids just having fun or disturbing the peace? coming up, we'll show you the new trend in public transit. also, a little controversy for wholewh t has he what has t high-end market fighting off its critics?

a decision by whole foods to promote a new line of foods geared toward the muslim holiday of ramadan is generating a bit of controversy. published reports say the whole foods in the houston region decided to pull all ramadan promotions because of pressure from critics.

but whole foods released a statement from its headquarters saying it never asked that region to do so and has since addressed and corrected the problem. whole foods says it's pleased to promote ramadan foods just like other holidays including passover and the 4th of july. it's a way to cut your household expenses -- eliminating your cable or satellite tv service. plenty of people are doing it, but it doesn't really mean that they're missing out on their favorite tv shows. an increasing number of people are turning to network web sites such as hulu, to watch their favorite shows. >> the perception is that they're going to alternative sources of video entertainment like a net nix or a streaming or -- netflix or a streaming or something like that. >> this past spring the country's top two cable providers, comcast and time-warner, saw that more than 350,000 subscribers dropped their service. research firms predict by the end of the year, as many as 4.5 million people will be forgoing any kind of pay tv service, mostly because they can get their favorite shows, at least

many of their favorite shows, on line. as you might know, the station and network is owned in part by comcast. and we encourage you to keep your cable. >> yes. watch a lot of tv. a lot of news. follow this next story under what not to do theex ttimeimou hop on t arain. >> the video's next. stay with us.

the latest flashmob phenomenon -- subway parties. wow. check this out. a wild party on the subway to coney island. whether it was fun or not depends on who you ask. >> what if you were sitting near there? >> yeah. if you were catching the train to catch this party, of course, it was great fun. not so much for people heading home from a very long day at the office who just wanted some peace and quiet, i'm sure.

>> could you imagine? >> rowdy. >> i want some more of that music. >> i know, that music will jazz you up. thank you very much for joining us. >> see you again next at 6:00. >> bye. [ female announcer ] at jcpenney, all your back to school favorites are on sale!

so get in extra early for 5 hour steals saturday, like $14.99 city streets denim, 55% off kids' school uniforms, and $8.99 guys' st. john's bay polos! bras are just $14.99, too! plus, with jcp cash, earn $10 off when you spend just $25! no exclusions! unlike other stores, we don't make you come back to save. go to jcp.com to see everything on sale. we make back to school style affordable. you make it yours. jcpenney.