Misinformation undermines public trust in science and democracy, particularly on social media where inaccuracies can spread rapidly. Experts and laypeople have shown to be effective in correcting misinformation by manually identifying and explaining inaccuracies. Nevertheless, this approach is difficult to scale, a concern as technologies like large language models (LLMs) make misinformation easier to produce. LLMs also have versatile capabilities that could accelerate misinformation correction; however, they struggle due to a lack of recent information, a tendency to produce plausible but false content and references, and limitations in addressing multimodal information. To address these issues, we propose MUSE, an LLM augmented with access to and credibility evaluation of up-to-date information. By retrieving contextual evidence and refutations, MUSE can provide accurate and trustworthy explanations and references. It also describes visuals and conducts multimodal searches for correcting multimodal misinformation. We recruit fact-checking and journalism experts to evaluate corrections to real social media posts across 13 dimensions, ranging from the factuality of explanation to the relevance of references. The results demonstrate MUSE's ability to correct misinformation promptly after appearing on social media; overall, MUSE outperforms GPT-4 by 37% and even high-quality corrections from laypeople by 29%. This work underscores the potential of LLMs to combat real-world misinformation effectively and efficiently.