TheStreet’s J.D. Durkin brings you the biggest news of the day, including what Wall Street is looking at this week, and Southwest getting hit with a record fine.
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00:00 I'm JD Durkin reporting from the New York Stock Exchange and here's a look at what we
00:03 are watching on the street today. Stocks are coming off a 7-week winning streak to kick off
00:08 the last full trading week of 2023. This comes as investors bet that the U.S. Federal Reserve
00:14 will pull off a soft economic landing after indicating interest rate cuts in 2024. Investors
00:21 are also looking ahead to jobless claims out Thursday and the Fed's preferred inflation gauge.
00:25 We get that information on Friday. In other news, Southwest Airlines has been served with a $140
00:32 million fine by the Department of Transportation for its 10-day service meltdown during the 2022
00:38 holiday season. The fine is the largest civil penalty ever handed down by the DOT. During
00:45 December 2022, Southwest canceled roughly 17,000 flights and stranded more than 2 million passengers
00:52 in the process due to scheduling and technology challenges. The airline said the disruption cost
00:57 the company $1.2 billion between Q4 of last year and the early part of this year. Thus far,
01:03 Southwest has paid out more than $600 million in refunds and reimbursements to affected customers.
01:10 Of the fine, U.S. Transportation Secretary Pete Buttigieg said, "Taking care of passengers is not
01:15 just the right thing to do. It's required, and this penalty should put all airlines on notice
01:20 to take every step possible to ensure that a meltdown like this never happens again."
01:26 According to the DOT, 90 of the $140 million will be used to create a new fund that will
01:32 help compensate future Southwest passengers who may experience significant delays or cancellations.
01:38 $35 million will be paid directly to the U.S. Treasury.
01:42 That'll do it for your daily briefing. From the floor of the New York Stock Exchange,
01:45 I'm J.D. Durkin with The Street.
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