>> announcer: t nightly is business report with bill griffeth and sue herera. >> lingering effects. ten years afterhe financial crisis, investors haven't completely gotten past the dark days. and it's evident in the market >> gaining strength. hurricane florence is making a bee line toward the east skoeft and in the path the concentration of power plans. >> wall street remeers, a firm that lost so much 17 years ago spent in day and every 9/11 giving back. those stories and more ton on nightly business report for tuesday, september 11th. good evening, everyone and welcome. and welcome back. ha thank you. >> it's great t you back. >> took an extra long vacation. we had friends who m gotried in germany. we had a lovely time over there

the last w okso. >> you you were missed. >> thank you great to be back. to the news w ton. he begin with the stock market with ridge sistered gaint hnology stocks rebounded and the energy sector rallied day ahead of hurricane florence. trade concerns report on the back burner for now and for investors bought up stocks today. the dow gained 113 points to 25971 with apple leading the way. the nasdaq up by 48, the s&p 500 added 10. while today'sras was knowing stroerds what investors witnessed ten years ago this week was. and it change the way americans think about their money. bob pisani has more for us. >> a decade since the financial crisis saw investors on wall street key lessons but it change hownvestors think. sheer five personal take aways from the crisis and how it change the conventional trading wisdom. first investors do not act rationally in a crisis petition

he they d buy low and sell high. they do the sop sit they buy gh and selllow. h behe week of march 6t 2009, the s&ped had 666 at the drop off more than the historic high. made no sense to sell with the market down 50% but that's kwhapd. eutflows from mutual funds skrermted at end of 2008 into 2009. it didn't turn positive until later in 2009. ouch. second there the isn't always a right rep price. when the mortgage backed securities market fell apart one could agree on how to price drifts. . increasing complexity dcrs not se risk. it increasing risk. everyone thought you could slice and dice these mortgage products into manageable tranchs. that would spread out the risk.e that p terribly wrong. fourth, the markets are not a as efficiently as everyone assumes. i know this is a key tnent

modern portfolio theory and all that. but wall street had poor visibility on this. corporations wereeeg business mature rate on daily basis and poor communication and data sharing from compani exacerbated the problem. many companies provided little guidance and shared as little as possible. we were in the dark.ll fi bold swift action works better than slow indecisiver action action. the fed stepped in to make sure banks would not fail ultimately. and that finally stopped the free fall. you know in a sensen j mainrd kane, the famed commit stopped in and won. hey propped up the critical institutions and spent a lolt of money. the interventionist ideas wonou trn the interveeng years. global c banks in europe and japan bought up assets and governments ran defends for a business report bob businessny. >> the aftermath of the

fina tial crisis has been longest bull run for stocks in u.s. history. but today, the founderer of the world largest hedgeay fund he tells investors to be less aggressive and more defensive. >> right now we have just gotten to the point i my judgment that it's more than the risk -- the risk return is more negative. i would then in a more defense oef posture. whatever the strategic assets allocation you know the strategic mix. i would be less aggressive rather than more. >> when it comes to the economy dalio says he thinks the current economic cycle in the seventh thing that's where he thinks it is. he urges the federal resheve not to get of the market as it hikes interest rates. meanwhile, the budget deficit is widening according to a report from the congressional budget office it hit 900 billion over the piers 11 months of this fiscal year. asat is an inc of more than

30% over the same period last ar. the non-partisan cbo said the tax law and agreement to increase goverent spending contributed to the widening deficit. revenue rose 1% while spending was up 7%. the tax cuts are contributing to record optimism among small sbis oshs according to the nional frags independent business companies are planning to spend more on capital igestments and hir expectations are at an all-time high. a separate reportrom the labor department shows 6.9 million job openings in july. the most ever. the number of workers confident enough to quit jobs also hit a record. canada's foreign minister returned to washington today to continue the difficult renegotiation he is of of the north american free tradere agement. she said the discussions are productive but still more work to be done. >> it's a truism of trade negotiations that nothing isil

done uverything is done. we have en working extremely intensively ovethe past two weeks. and as i said to you on friday, we reallyee both sides that we're in a con nuous negotiation phase. >> u.s. officials would like a new agreement to be in place by october 1st. china is now planning to ask the world trade organization for permission to sanction the u.s. the world's second largest economy sites washington's non-compliance with the ruling in a dispute over u.s. dumping duties. experts say the ed couldrag on for years as as tensions escalate. last week president trump said he was ready to gon tarif on another $200 billion on chinese goodle meanw mcand russia appear to be strengthening economic thties. leaders of the two countries have been meeting at the eastern economic forum and thet'sre we find jeff fors tonight.

>> reporter: a relationship built on trust is now rsian president putin welcomed his counterpart! jinpin to the eastern economic fom. here in the far eastern city of vladostok. the two leaders clearly using this photo call opportunity to express tir desire for deeper kplomtic, political and economic ties. in a number of comments made by president xi there were digs at u.s. president trump over current trade policy and hisuni lateral approach to international orgazations. on both issues xi jinping said it was important to have the support of russia. trade and economics never far

away at these major events. ansome $100 billion worth of deals have been inked related to the technology sector. one specifically stands out. and that islibaba signi a deal with russian partners here to provide and enhance social commerce platform. >> 600 million customers russian businesses with supply products to. 100 million russian will get more alibaba products. >> reporter: a number of russian business leaders we spoke to nthere at this e say that the increased pressure from sanctions is making operational decision making harder, and they are concerned that there may be further sanctions coming down the pipe from washington. as a consequence of those, they point out that they ar

creasingly having to look to the east to do business. t ant probably means more deals as far as china is concerned. this is jeff can cutmore for nicely business report from vladivostok. and now look at the upgrades and down grades we beginith tesla tonight. downgraded from neutral to buy at nurm aire, t analyst who had been one of wall street's biggest bulls on the stock now calls tesla uninvestable, in part becau of yoe olone musk's. errotic behavi >> the risk is that if this behavior continues he continues to be under scrutiny, the brand, the tesla brand starts to erode. and if the bra starts to erode then i think that spells trouble. for people not necessarily in the wooerds they may have second thoughts about buying a tesla vehicle if they feel the company is not around longtime.

>> the price target was dropped to $30 oh share. the stock falling 2% to 279.44. cbs saw the rating cut to neutral from buy at they say the uncertainty around management changes lim moves higher in the stock. yesterday we told you about the departure of les moonves allegations. price target of n c $60. the stock rose a fraction to $55.40 today. nike was upgraded to buy om hold at annuity the analyst says nike regained footing and expects longtime gross mrjen gains. the price target, the stock rose a fraction to 82.63. snap was upfreighted from to outperform from furlt .wedbush. they site managem changes and improved execution. the provides target is 12.25. the stock rose 1.5% to $9.81.

>> still ahead will hurricane florence be the most costly ever to hit the u.s.? the trump administration is reportedly ready to east ouvironmental rules. according to num reports, the epa will ease requirements for oil and gas c panies when it comes to releasing methane into the air. the proposed chang would give oillers a year to do leak inspections inste six months and 60 days to make repairs insteadf 30. well hurricane florence is still days away from making landfall. but there are early estimates what it might cost. core logic says it could be one of the most expensive storms to hit the u.s.

couldosmore than $170 billion in damage, about $750,000 homes and businesses. jackie deanglis in wilmington, north carolina. >> reporter: hurricane florence unlikeing into a threat any other. >> the waves and the wind thiso may bring is nothing like you have ever seen. even if ridden out storms before, this one is different. don't bet your life on riding ou a monster. if you wait until conditions get bad, it may be toolate. >> reporter: the bull's-eye point, wilmington, north carolina. d in the storm's path a concentration of power plants including more thana half dozen nuclear ones which supply mout a third of the power to north carolina aore than half to south carolina. duke energy is warning the storm could exceed the damage from

matthew which submarjd north carolina tounts in 2016. they said it could take weeks to restore power to hard hit areas. dominion energy urging customers to prepare as with he will process. gasoline demandoutstripping supply right now but more is on the way. those need going to evacuate will likely bee to get it. in the meantime no major remooin fineries here but the bad weather could impair thes shipmef gleans gasoline up the east coast. the residents getting ready to leave are makingpreparations. >> we're going to have to start over probably. along with a lot of other families. and the ones that are going to be trapped here that can't get seven familiese don't even have a car to get off. y tell me about that. >> and te just going to board up windows and pray for the fweft. >> state and local authorities repeating safety first. a live more important than things. >> those citizens that need to evacuate we implore ou to evacuate now. you heed the local and state

warnings. and do your part and our team to help us save ve we can rebuild infrastructure, and homes we can't rep lives. >> with days to go the mood is tense on the ground. and the fear is this may be the worst storm this state has seen missouri more than 60 years. r nightly business report. nglmington, north carolina. you china may have lost a potential buyer that's where we begin the mket focus. bloomberg says a group of chinese investors will walk away from a tempt to buy yum chi after the initial bid was turned down. the investor gro including hillhouse capital and kkr were said to be concerned with softness in yem's financial pormtz. yem china shares plunged 13%o 31.94. boeing ramped up deliveries of top sling 737 airliner last onth after hitting a low in july. the aircraft maker delivered 48 jets in august. and that ism up f 29 the prior

month. production bottle necks are causing a growing numbe of boeing planes to sit unfinished. that's resulting in delivery delays. boeing shares were up 1% to 345.25 p. and the fcc sayst needs more time to review the proposed merger between telecom cop sprint and t-mobile. the agency said it's pausing the 180-day informal transaction time line so a third p review the deal. shares of sprint rose half a% to $6. and t-mobile shares finish up a fraction to 65.91. >> payment technology company usa technology says it would miss its filing that is required the 10 k form with the sec by th sday's deadline. the company says it's launching an internal investigation to its counting practices and its financial reporting systems. shares cratered as a result, falling nearly 40% to $9.20. then after the bell gileadsc

nces says the experimental edeumatoid treatment perfo well during a study. shares everad ga rose in after hours but finished the regular somethings session era sessiond a fracture. shared of glop goss were flat in the extended session finishing the regular session up 5% to 102.74. a decade ago in the throws of the worst housing crash in history, large scale institutional investors went on a buying spree. snatching up foreclosured propty and turning them to rentals most expected this to bm short- and once the values srecovered they wouldell and call it a profit. that's not what happened. zblrp in the suburbs of dallas, the single family rentalss busi is thriving appear and so is the new class of compies. blackstone's invitation home began buying properties six years ago andstow b a portfolio of more than 80,000

homes and close to 1,300 employees. >> i think it's a natural evolution in the space. much like the apartmentndustry the early 80s. if you look at the where we're at food in singleamily rentals it's still very early terms of what in space could be. >> the space was more crowded at the stock. big names likey col starwood american homes foreign and invitation homes bought tens of thousands of properties. but found it hard to manage so many on a large scale. any consolidated. and today just american homes and invitation remain. >> one of the barriers to entry is having the peoplees proce and systems in place that allow nto you create a efficient business model. that t tk timeo develop and get right. >> initialt that's why didn't think the business last. >> most people did believe that this -- this assets class was mo of a trade versus a viable business. and i would -- yes i would put in this surprised camp as well. >> it's easier after all to manage a multiunit apartment building in one tall space than thousands of properties across

ltiple markets. but technology and consolidation helped a now both invitation and american homes for rent have about 96% occupancy and are turning big profits. >> 10u6r was a huge turn around year for these companies.e wh operating performance both occupancy rental rate and operatingll margins began clicking and proved to investors that these companies would o could operate this asset class more like a apartment company. >> with home construction still aenemyic and aho criticalage of affordable homes for sale, demand for rental housing is unlikely to wane. and some argue having management a correspondent scale with all the new technologies makes leonarding more attractive especially to millennialsin me this new class of rentals could change the housing landscape of supply and demand for the foreseeable future. for nightly businessept. diana olick in washington.

th to fred glik to talk more about the state o housing market, the ceo of the real kerage and mortgage b company, arriva.com out in california. good to see you welcome back. >> l., b thanks for something me. >> we have far more renter than a decade ago. is that good or bad forl the r estate market? and how long do you expect that to continue? >>well, it's actually, i'll say, goo and why i say that is because hopefully peoave will beg up and eventually buying or finally csidering buying in a few years from now. because right now people's mentality is not what it used to be, where everyone said i have to own a house. that's the american dream. it's just not that way anymore. >> what about the housing market in general? we have gone through this very difficult time. the banks have tightened up their lending requirements. that wouldeem to be a good thing. do you feel good about the market as it stands now? >>yes, sue.

the story is that, yes, it is difficult, quote unquote, to get to mortgage compared tos 2008 when long as you can breathe and sign your name you got a loan. now there is restrictions on how much income you need to qualify for a mortgage, which is a good thing. and they don't allow any mortgages where you can't tell them what your income is for an owner occupied property. that's much better. >> the dearth of houses being built, do you expect that to change? i mean why aren't builders building more is the demand is high these days. >> number one i'll put is local regulationre i have a story, my friends limping in malibu, it took them t16 years to get into house after they bought a piece of land andant eand wanted to build. that has to change. there has to be more programs for people to buy their own new

construction property -- land and do new construction on them. and it's just supply and demand. they just can't get it out quick enough. but what they do get out is too expensive for the average person. >> right. nd that's the biggest problem here in the bay area. >> i'm sure in your neck of the woods it is. what about interest rates? i mean that's kind of one o the side stories to housing. one, there isn't enough housing out there. but two, with w see interest rates go up. does that also take people out of the market r a home in. >> not at all. i don't think so. there is maybe a couple of peop who just said oh my god rates went up. ifou remember the low in the last cycle was 3.3/8 on a 30 year fakz n i quoted one at 4 and 1/8. ouplus can take a five, ten-year armp. plus you take valley whenicon

there is 12 people trying to buy a house. dough don't err care about the rate. they justant the hoist. i'm not tt concerned about interest rates even long-term because you remember the chinese government figured out they are buying mortgage-backed securities to keep the rates low to people buy the stuff to put in-houses we always have that. >> thank you f joining us, tonight, fred. >> fred glik with arriva.com. coming up a day of terror and heart breakas turned into a day of remembrance and giving back. y on this day every year,th

e is a clarity day. the day to remember the firm's employee losing lives during the 9/11 terror attacks. it's a way to turn tragedy into something positive by giving back and as always celebrities were on hand to help out. leslie picker is in new york for us tonight. >> this is going to be the d luckie of your life. reporter: imagine placi a trade with alex baldwin. >> we can buy 150,000. >> or goldy hahn. i license to warren buff zbleet or gene simmons that's on the trading floor ofanr fitzgerald on the anniversary of 9/11. the revenue goes to charity. the glitz of charity day was born out of darkness. in 2001, canter fitzgerald was based in the world tradeen cr when the plane struck the firm

lost 658 employees, 70% of the workforce at the time. the ceo vowed to rebuild the firm. 17 years later he says it's four times larger >> they are part of canter fitzgerald remembering each of the 658 people. each of the people behind us th are asking the client to do as much asossible. every penny of revenue we give to 150 different charities to turn the tou day into something really beautiful. >> who lost his brother in the attack was taking his son to school when the towers fellis whicow he survived. tony blare was prime minister of the unitekingdom during 9/11 and gave the now famous shoulder to shoulder speech where he pledged to closely ally wh the u.s. in its time of crisis. >> the knrelationship, you , it sort of ebs and flows what. but at e roots it remains strong appear. and should remain strong. because i the wor that's

changing fast the vues that define the united states and britain have been in freedom on democracy. these are important things in the 21st century to stand up for. i hope, wnever suffer from a traumatic event like 9/11. >> blare's trading revenueda fr will go to his names sake charity which works on projects in poorest area of the africa. this the firefighter from 9/11 worked 12 hour shiftso rescue victims from the rubble. >> i used to be a firefighter at engine 55 in the early 80s. and septemb 12 i went down to my old firehouse, engine 5 a, d then i went to the site with them. and was dow there forbout a week. >> proceeds ofll his trades go to friends firefighters which provides counseling and other f servic firefighters and their families. over the last 16 years canter fitzgerald raised almost $150

million for charity. at the very least it makes this very tragic anniversary a little bit easier knowing they are doing something for good. leslie picker, new york. here is another look at the numbers on wall street today. the dow advanced 113 points. the nasdaq up 48 and t s&p 500 added 10. it's great to have you back. >> great to be bat'. >> t does it for us ton. i'm sue herera. >> i'm bill griffeth. have a great evening everybody. we'll see you tomorrow.

>> this is "bbc world news america." >> funding of this presentation is made possible by is made possible by the freeman foundation, kovler foundation, pursuing solutions for america's neglected needs,