The dows advance today wasnt big. But it was enough to put it at levels never seen before. The blue chip index added 45 points to 22,203. The nasdaq fell 31. And the s p 500 was off two. The run to records for the dow was gradual and kind of quiet, as if the index was just crawling along. But something is helping lift that part of the market. Bob pisani explains what reporter the dow notched its third record close of the week today even as the nasdaq and s p closed slightly lower. The dow remains on pace for its best weekly gain since april. Crude oil sent Energy Stocks higher. Leaders included schlumberger. But there was some weakness out there. Other sectors that had been strong last week ran out of steam today. Bank stocks, for example, had been up 3 to 5 for the week. But most closed lower by about 1 today. Retailers which had been having a great week, they also declined today. Tiffany was down nearly 5 . Qatar still retains a 10 stake in the company, wiping out a twoweek rally in the jewelry maker. For nightly business report, im bob pisani at the new york stock exchan so where should you be looking for performance and return . James camp from eagle asset management, welcome, good to have you with us. Tyler, good evening. Terrific. When the market gets high, as it is these days by some measures, often what happens then is that the income portion of your total return becomes ever more important than the Capital Appreciation portion of it. So does that argue that i need to be looking at different kinds of securities, whether its preferreds or high dividend paying stocks or even some fixed income today . Tyler, were a big believer that we want to invest in companies that are shake the good fortune theyve had over the last couple of years with shareholders. More and more to us, on the income side of the equation, thats to be an owner of the Company Versus a lender to the community. When we look at yield and income oriented investors, the relative health of the risk markets for a variety of reasons, we do favor the ownership side of the Balance Sheet versus being a bond holder. What about going outside of the United States and looking perhaps at higher yielding instruments in either emerging markets or europe, which has been doing quite a bit better than a lot of people thought it would . Sue, i would say the risk side of the European Market is certainly productive. The valuations are better for the equity markets over there. They seem to have turned the corner. We are very skeptical on the Financial System and the indebtedness of the european banking system. We might stay away from pure debt instruments overseas and remind ourselves, sovereign yields are still largely negative even in the eurozone. Its a difficult animal to be an income oriented investor overseas right now. You said you prefer the equity or ownership side of the Balance Sheet over the debt side. That said, where are you finding value . What categories or kinds of stocks . The screens for us really are yields that are above market. The s p right now is around 2 . We like to have about a 50 premium to that, so around a 3 yield. Names falling into our purview are some of the Technology Names that are now more mature and passing through cash flow. As bob mentioned on the first part of the discussion tonight, there is a tearing thats going on in the equity markets, there are winners and losers, separating really good from really bad. Thats creating good value opportunity for some of the stocks that were frankly underyielding a few months ago. Very quickly, how are you doing in st. Petersburg, florida . Appreciate you asking, were doing very well here at the home office. A lot of associates still without power. So its a difficult slog. But florida is ready and were all rallying around each other. We appreciate your thoughts. Good to see you bouncing back. James camp with eagle asset management. Some of the weakness in todays market came from concern over inflation. Prices last month rose, thanks to higher housing and gas costs which are likely to fall as rapidly as they advanced because of heavy damage to major refiners in the houston area following hurricane harvey. The Consumer Price index advanced 4 in august, its not biggest increase since january. Surprising many in that report was a deceleration in the cost of medical care, rising at its slowest pace since 1965. Mixed messages today on immigration, an issue watched very closely by businesses. Hang on, its a twisty story. There were reports the president and Democratic Leaders had come to some sort of agreement on the daca program, the obama era plan the president cancelled a week or so ago that deferred deportation for children brought illegally into the u. S. By their parents. But this morning the president tweeted that no deal was made last night on restoring daca. Then he said that he and congressional leaders were fairly close to an agreement provided it was paired with massive border security. Later, touring hurricane damage in florida, he said, quote, if theres not a wall, were doing nothing. He also said wall funding neednt be a part of the daca agreement. Still later today he said he remains committed to finding a way to reinstate some variant of the program. Gop leader paul ryan distanced him from the idea that any deal had been struck. The president also said today the tax reform package being crafted by lawmakers will be revenue neutral if Economic Growth spurred by the legislation is taken into consideration. On capitol hill, the first hearing on tax reform took place. But at the start, the chair of the Senate Finance committee had a blunt message. He made it very clear that negotiats f the white house, senate, and house, would not dictate tax reform to his committee. Anyone with any experience with the Senate Finance committee knows that we are not anyones rubber stamp. A bill, particularly on something as consequential on tax reform, is going to pass in this committee, but the members of this committee will have to be involved in putting it together. Senator hatch said any tax bill is only a framework and not a commitment. 11 people have been sanctioned for supporting iranian activity the white house considers hostile. The action freezes any assets that people and Companies Hold in the u. S. And bars u. S. Citizens and residents from doing business with them. The Trump Administration late yesterday blocked a chinesebacked investor from buying lattice semiconductor, the fourth time in a quarter century that the president has prevented foreign takeover of an american company. China is not happy. Eunice yoon reports from beijing. Reporter china has a negative reaction to any steps a Foreign Government takes to curtail chinese activity overseas. It cried protectionism. They said, we believe conducting a security reveal for an investment deal in sensitive is a countrys legal right but should not be a tool for protectionism. We hope the u. S. Can see such normal Business Activities fairly and provide fair treatment. The state press went one step further with the idea that china is the one being treated unfairly. The communist party paper the global times pointed out in an editorial that china is not in the top ten compared to the uk, japan, or germany, when it comes to Foreign Direct Investment in the u. S. , but that nearly one quarter of cases involve chinese companies. The paper says its disturbing to see the u. S. Plan to expand reviews of Chinese Investment in other socalled sensitive technologies such as artificial intelligence. It went on to say the u. S. May regret a lost opportunity if it insists on protectionism. There is an implicit threat in those comments, and china has made threats repeatedly but china has not announced any actual countervailing steps after trumps decision. For nightly business report, im eunice yoon in beijing. Ahead, taxing robots . Sounds crazy. But one city says, if theyre taking jobs, w the head of moscowbased Kaspersky Software will be heading to capitol hill. Eugene kaspersky has agreed to testify later this month about the security of the cyber firms products as long as he can get an expedited visa. As we reported yesterday, kasperskys Antivirus Software was ordered off Government Computers by the department of homeland security. The federal trade commission is investigating the massive data breach at equifax. The ftc doesnt normally comment on ongoing investigations but the agency confirmed the probe in light of the intense public scrutiny. Shares of equifax were off another 2 today and are down more than 30 over the past week. Senator al franken has some concerns over apples new iphone which can be unlocked with a scan of your face. The minnesota senator asked the company to provide more information about how facial recognition will affect users privacy and security. The senator also wants to know what happens to that face scan data and how apple plans to respond to requests from Law Enforcement for access to the facial recognition system. The senator asked for a response by october 1 its a radical idea, taxing robots. Bill gates first suggested it earlier this year. And now a big California City is taking it one step further. Aditi roy is in cupertino, cali can i get some water . Reporter bill beyer is traveling for work this week. He came back to his hotel room after a run and realized he needed some water. But when he opened the door sweet. Thank you. Reporter he got his water and a surprise. A robot at his door. Beyers just one of the customers benefitted from the robot butler at this hotel in cupertino, california. Butler runs deliveries to guests which frees up the personnel to do other things. Its easier for the staff, it takes up menial tasks. Deliveries, things like that. It allows us to stay at the desk and be engaged with customers. Reporter butler cost 24,000 a year, 6,000 less than what an average front desk worker makes in a year at this hotel. That doesnt include Vacation Time and benefits. And remember, people often get raises over time. While the cost of robots will get cheaper as they become more common. But some believe robots like butler are hurting the u. S. Economy by taking jobs away from humans. If we dont prepare now, and if we dont support the automation thats going to happen, i think that it could potentially be an incredible disaster with 37 to 47 of jobs that currently exist displaced by robots. Reporter jane kim is worried about robots and automation displacing workers and wants to do something about it. Inspired by bill gates endorsement of a robot tax in an interview earlier this year, kim has created a committee to explore the idea. If a robotax is implemented, robots could be taxed just like people are. Business owners who use them would pay income tax, even social security. Eventually kim hopes to have a Ballot Initiative for california voters or a bill for legislators to decide upon. I believe its going to be a portfolio of policies that are going to help us prepare our workers for the future of work. Reporter its a subject thats sparking incr controvers as more and morre robots do things that people do, in factories, research labs, some are even making pizza. One recent report found that it would lead to a net loss of 10 million jobs in the u. S. By 2027. Critics say a robot tax is flawed, because it kills innovation. And with so much automation around us, its too hard to define exactly which robots would be taxed. Butlers creator believes that it will create more jobs than it eliminates. The hotel says butler isnt taking away any jobs from humans. Beyer says he didnt mind talking to a robot instead of a human. I would rather be prepared to deal with other people than to just get surprised, especially in an intimate setting like your own room. Reporter if a robotax is passed, kim hopes the money raised will go towards worker retraining or education. Here at the hotel, the general manager tells me butler makes between 15 to 20 deliveries a day, making him just as productive as a human worker. For nightly business report, im aditi roy, cupertino, california. Mark hammerisk joins us. Welcome back. Glad to be back, sue. This is a slippery slope, if you decide to tax, quote unquote, robots, whats the difference between robots and automation on an auto assemble line . Its kind of murky, isnt it . Its a great question, sue, because first of all, we have to ask the question, what is it we actually want to tax . Are we trying to tax something that looks like a human, thats coming to the hotel room, or are we talking about the broader aspect of automation, which is very present now in our everyday lives . In the piece we heard the figure about 6,000. It will be curious to see what they think, for example, the amount of tax should be attached to that. And then what do you do with the revenue . If you dont take the revenue and apply it to helping the workers who are displaced, then youre really causing a bigger problem. I dont want to quarrel with bill gates, hes a heck of a lot smarter than i am. But this does feel like a tax on progress, like taxing cars because they put a lot of horses out of work. Right. I dont think cupertino or San Francisco wants to be hostile to technology. But there is a looming potential problem on the horizon. I think we watched the advance of technology these days, and it seems to be accelerating. That means if nothing else, the displacement of workers by that technology is accelerating. And we know that that has caused some unintended consequences in the United States, as has globalization. How much of this do you think is stemming from the fact that if a robot or automation displaces a human, cities are not getting the tax receipts and the monies coming in from that human that is paying their state and local taxes . Yeah, and robots dont vote against taxes, right . Right. Theyre a convenient target. I think about, were here in washington, d. C. , theres a massive casino nearby that costs about 1 billion to build. Cities all across the country have embraced that revenue really as a means of, you know, trying to capture more dollars for their government. And theyve sort of lowered the standard on whether they think thats a problem or not. I do think this is going to be a growing issue because automation and robots are here to stay. Thats going to launch a growing debate. The debate not going to go away anytime soon. On that note, mark, thank you so much, good to see you again. A rise in the cloud helps results at oracle. After the bell, the Software Giant reported stronger than expected earnings in sales and attributed those strong results to strong momentum in the companys cloud business. Shares initially rose in after hours trading, but ended down a penny. And pfizer said it saw positive trial results for an experimental Prostate Cancer drug. The medication, when used in combination with another medicine, helped patients live longer than if they just underwent the standard treatments. Pfizers shares up 2 to 35. 73. The food and Drug Administration approve amgens cancer treatment, a biosimilar to an existing drug made by roche, the first made for use in oncology. The agency said the approval of biosimilars can lead to Lower Health Care costs, ultimately. Amgens shares fell. The Venture Capital firm social capital raised 600 million in its initial Public Offering on the new york stock exchange. Social capital is known as a special Purpose Acquisition Company or spac. It plans to invest in private Tech Companies that are the no yet public. The companys ceo says social capital has found a way to appeal to Tech Companies that want to go public without taking the traditional ipo route. What were going to use the spac for is to secure 25 extremely wellknown, thoughtful investors who we represent the best of the best. Neutral funds, sovereign wealth funds, extremely wellknown blue chip hedge funds. And now together what were going to try to do is to get to a better understanding of Great Companies and help those companies exist in a more stable context in a public market. Shares of social capital rose 3 in their debut to 10. 31. The car safety supplier auto lift saysing ing it is conside splitting its Electronics Components business from the division that focusing on airbags and steering wheels. Auto lift said the move would allow its electronic segment to better compete in a market thats seen more innovation in autonomous driving technology. Shares jumped 12 to 127. 15. The homebuilder lennar said it expects Home Deliveries to be delayed that quarter due to impacts from Hurricane Irma and harvey. Shares were off fractionally to 50. 89. President trump went to florida to survey the damage from Hurricane Irma today. He met with local officials and First Responders to thank them for their work. He got an update on the recovery from Florida Governor were working hard to get power back on. Weve restored over 4 million homes already. Were down to about 25 of our homes. And we all want our power back. But i want to thank them for what theyre doing so far. We have high expectations. We want the power back as fast as possible. One of the hardest hit parts of the state, duvall street, homes and businesses damaged, some severely. Others completely destroyed. As the cleanup efforts get under way, Freight Companies are trying to get operations up and running so goods can get to where they need to be. Morgan brennan has our story. Reporter on the heels of two hurricanes, transportation carriers are scrambling to get moving once again. It actually happens quicker than you think. The companies are already staging or staged prior to the weather all of the resources they need to repair and rebuild. And they do it essentially immediately, as soon as they can get in. Reporter ahead of irma, shippers diverted ocean cargo to ports further north out of the storms path. Now companies are getting back to work and shipping demand is spiking. Maj storms in two contiguous regions of the country are creating a lot of more demand for trucks to serve those areas. Both in terms of resupplying the areas with supplies that are needed, in addition to supporting the u. S. Economy. Immediately after the storm, there is a resurgence or a need to get supplies, refrigerated goods, foodstuffs into those areas. Then in the longer term, as those areas start to rebuild, construction and other materials need to go into those areas. Reporter trucking rates soared in the week between harvey and irma. While its still too soon to know the full impact of irma, demand for materials as recovery commences are expected to propel rates even higher. Some carriers are already sending convoys into florida. One company deployed 100 big rigs south filled with Hurricane Relief supplies from home depot. The interruptions to business and damage to infrastructure will dent transport stocks earnings in the near term especially since some shipments will never are recouped. Its all about the disruptive aspect of not having volume to move. Then theres a repair and dieame dynamic. We would expect a gradual recovery. It doesnt happen all right away. But we should start seeing volume growth again in the next couple of weeks. Reporter so its back to work, even for the railroads, which are fixed networks most vulnerable to damage. As Companies Directly in the hurricanes path get tracks fixed and trains running, its good news for investors and also consumers, since the peak Holiday Season is already in sight. For nightly business report, im morgan brennan. Coming up, why home flippers cant flip like Mortgage Rates remained at their lowest level of the year. The 30year fixed Rate Mortgage averaged 3. 78 last week. The 30year is the most widely held type of u. S. Home loan. House flipping has seen a huge runup in the past few years. Of course as investors take advantage of tight supply in the market and also those fast rising home prices. But something is now holding those investors back. Diana olick explains. Reporter house flippers are running into high home prices and thats hitting their bottom line. After two straight years of gains, the rate of home flipping, defined as buying and selling a home in the same calendar year, flattened in the Second Quarter of this year, according to a new report from adam data solutions. Nationwide, close to 54,000 Single Family homes and condos were flipped in the Second Quarter, which is more than 5. 5 of all home sales during that period. The rate was down from about 7 in the previous quarter and unchanged from a year ago. So why the slowdown . A drop in profits. Home flippers saw an average gross return of more than 67,000 in the Second Quarter, representing a 48 return on investment. Thats down from nearly 50 compared to a year ago. It also marks the lowest return in nearly two years, after peaking at 51 in the fall of last year. Average grows flipping returns nationwide have decreased for three consecutive quarters. Flipping used to be an all cash business. But in order to compete in a market with higher home prices, more flippers are now using mortgages. Upping the ante and the risk in an already risky real estate game. Im diana olick in washington. That does it for us tonight, im sue herera. Thank you for joining us. Thanks from me as well, im tyler mathisen. Have a great evening, everybody. Well see you back