The WGA strike is finally over

TheStreet’s J.D. Durkin brings you the biggest news of the day, including a rough Tuesday for stocks and the end of the WGA strike.

Transcript

00:00 I'm JD Dirken reporting from the New York Stock Exchange.

00:02 Here's a look at what we are watching on the street today.

00:05 Stocks are coming off a pretty big sell-off yesterday.

00:07 It saw the Dow drop to its lowest level since March.

00:10 Investors a bit on edge as they worry

00:13 that interest rates have not yet peaked,

00:15 meaning more rate hikes are to come.

00:17 Meanwhile, the prospect of a US government shutdown

00:19 is also weighing heavily on markets.

00:21 If a budget deal is not reached by this weekend's deadline,

00:25 the government would shut down

00:27 and hundreds of thousands of federal workers

00:29 would be furloughed.

00:30 The last government shutdown lasted five weeks

00:32 and it cost the economy an estimated $11 billion.

00:36 In other news, TV and film fans rejoice.

00:39 After 148 days, the Hollywood writers' strike is over.

00:43 Leaders of the Writers Guild of America

00:44 unanimously voted in favor of a new deal

00:47 between the WGA and the studios.

00:49 Included in that new deal

00:51 is a bump in minimum pay for writers.

00:53 A 5% increase will be implemented immediately,

00:56 another 4% bump in 2024,

00:59 and a final 3.5% increase the following year.

01:02 The deal also addresses one of the biggest concerns

01:04 for writers, which is the growth of streaming.

01:07 Writers until now lose out on residuals

01:10 paid by traditional TV networks whenever a show is rerun.

01:13 However, a new deal will see residuals

01:16 on big budget projects will increase by more than 25%.

01:20 The WGA says the contract is worth $233 million,

01:24 almost three times as much

01:25 as what the studios originally offered.

01:27 The newly minted deal will expire in May of 2026.

01:31 That'll do it for your daily briefing

01:32 from the floor of the New York Stock Exchange.

01:34 I'm J.D. Durkin with The Street.

01:36 (silence)

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