Numerous witnesses described hearing "screaming and shouting" and seeing people with their stomachs slashed after the shocking rampage on a Manchester street on Sunday night.
The 43-year-old woman who died at the scene was named locally as care worker Alberta Obinim with friends describing her as being "a mother to everyone" who was "always laughing".
The teenage girl and a 64-year-old man were last night in a critical condition with life-threatening injuries after the atrocity.
A 22-year-old man was arrested on suspicion of murder.
Armed police and paramedics had raced to a house in Gorton, east Manchester after receiving calls from frantic members of the public at 11.20pm on Sunday.
One horrified bystander said she saw the two adults with cuts to their stomachs before seeing the girl with appalling injuries.
The onlooker, who asked not to be named, said: "It looked like a scene from a horror film, absolutely. It was horrendous. Everyone was out in the street, on their phones."
Another man, who gave his name as Reece, said he and his cousin had just returned from getting a takeaway and were sitting in his car when he heard people shouting.
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