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Business News

Southwest Airlines Ends Free Checked Bags in Revenue Push

Southwest Airlines is ending its long-standing policy of free checked bags, marking a major shift in strategy as it seeks to boost revenue. Starting May 28, most passengers will have to pay for checked luggage, with exceptions for top-tier frequent flyers and certain credit card holders. This move follows pressure from activist investor Elliott Investment Management, which secured board seats and pushed for financial changes. In addition to baggage fees, Southwest is introducing a basic economy fare, adjusting its loyalty program to a dynamic pricing model, and reinstating expiration dates on flight credits. The airline is also cutting costs through layoffs and route reductions as it works to improve financial performance.

Markets Catch Their Breath After Wild Ride

After a turbulent Monday that saw the Nasdaq suffer its worst drop in over two years, markets found some footing today. European stocks held steady, while U.S. futures ticked up slightly, offering a moment of calm after investors panicked over recession fears. Treasury yields dipped further as traders bet the Federal Reserve will be forced to cut rates more aggressively. Meanwhile, gold continued its impressive rally, inching closer to record highs as investors sought safety. With inflation data looming and economic uncertainty still swirling, markets may be in for another rollercoaster ride. Buckle up!

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