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U.S., Iraq near key security deal (AP)

AP - Secretary of State Condoleezza Rice and Foreign Minister Hoshyar Zebari said Thursday that U.S. and Iraqi officials agree that timetables should be set for a U.S. troop withdrawal, but conceded that nailing down a broader pact on future relations is difficult.

Tropical Storm Fay forces more evacuations in Fla. (AP)

AP - Torrential rains from a slow-moving Tropical Storm Fay triggered a new round of flooding Thursday, submerging roads and forcing dozens of people to flee the rising water in their homes.

25 bodies identified from plane crash in Spain (AP)

AP - The jetliner that crashed in Madrid abandoned a first takeoff attempt because of an air gauge that showed overheating, but experts said it was unlikely the gauge was a factor in the accident that killed 153 people.

Suicide bombing at Pakistan arms complex kills 59 (AP)

AP - Twin Taliban suicide bombings at Pakistan's largest weapons complex killed at least 59 people Thursday, heightening the turmoil following Pervez Musharraf's ouster as president.

U.S. softball team denied 4th-straight gold, loses to Japan (AP)

AP - Losing for the first time since 2000, the U.S. softball team was denied a chance for a fourth straight gold medal Thursday, beaten 3-1 by Japan in the sport's last appearance in the Olympics for at least eight years — and maybe for good.

Butterfingers drop US men, women out of 400 relays (AP)

AP - Tyson Gay reached back to grab the baton "and there was nothing." He's not the only American track favorite who will leave Beijing empty-handed. The American men's and women's 400-meter relay teams both misconnected on the final handoffs in their preliminaries Thursday, a pair of stunning setbacks that made it that much easier for the Jamaicans to say the Bird's Nest is really their house.

Leading economic indicators fell sharply in July (AP)
AP - A private business group's measure of the economy's health showed the largest drop in one year as stocks fell, new building permits declined and unemployment rose.

Rejected by Hong Kong, Glitter arrives in Thailand (AP)

AP - Thai police said disgraced rocker Gary Glitter agreed Thursday to leave Thailand for London, possibly ending a two-day odyssey that began when he was released from a Vietnamese prison after serving time for molesting children.

Now on the Hallmark aisle: Gay marriage cards (AP)

AP - Most states don't recognize gay marriage — but now Hallmark does.

NFLPA head Gene Upshaw dies of cancer at age 63 (AP)

AP - Gene Upshaw, the Hall of Fame guard who during a quarter century as union head helped get NFL players free agency and the riches that came with it, has died. He was 63.

Rice says Iraq troops deal close (Reuters)

Reuters - The United States and Iraq are close to a deal extending the presence of U.S. troops beyond 2008, but any timetable for their withdrawal must be "feasible," Secretary of State Condoleezza Rice said on Thursday.

U.S. demands Russia leave Georgia "now" (Reuters)

Reuters - Russia began pulling tanks and troops back over its frontier, pledging all forces would quit Georgia's heartland by Friday night, but the United States demanded it leave "now."

Analysts see tough quarter for U.S. investment banks (Reuters)

Reuters - Wall Street research analysts are projecting yet another tough quarter for U.S. investment banks marked by additional writedowns across a series of fixed-income assets amid an already weak operating environment.

Jamaica sweeps the sprint golds in Beijing (Reuters)

Reuters - Jamaica made a clean sweep of Olympic sprint golds on Thursday with victory in the women's 200 meters humbling the United States, the traditional track and field superpower.

Suicide blasts kill 59 in Pakistan (Reuters)

Reuters - Two suicide bombers blew themselves up outside Pakistan's main defence industry complex on Thursday as workers were leaving at the end of their shift, killing 59 people, officials said.