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The 10-Point: My Guide to the Day's Top News

The Wall Street Journal
Good morning,
Back to the Fed
When it raised short-term interest rates last month for the first time in nine years, the Federal Reserve was supposed to be beginning a process of normalization that would see rates rise steadily. But after a brutal start to 2016, a number of investors now hope the U.S. Fed is having second thoughts about hiking rates three or four more times this year. That raises the stakes around what the central bank will say in the statement it will release Wednesday afternoon. While several markets rebounded last week, oil prices are near multiyear lows and there are still concerns about slowing Chinese growth. This morning, the Shanghai Composite Index, China’s main benchmark, experienced its largest one-day percentage loss since the Chinese government got rid of a “circuit breaker” mechanism on Jan. 8. Meanwhile, other central banks, including in Japan and Europe, are still enacting stimulus measures, but traders worry about whether it will be enough.
The Apple of China’s Eye
As Apple prepares to release quarterly results today, investors are focusing on the iPhone’s prospects in China, the world’s biggest smartphone market. CEO Tim Cook faces a number of challenges there: how to keep growing in China’s saturated market without the red-hot economy that made Apple’s pricey product attainable, how to persuade budget-conscious consumers to move from lower-cost domestic brands, and how to continue maintaining good relations with a government whose policies are sometimes at odds with the West’s. To Apple’s advantage, many consumers remain cachet-conscious, positioning the company’s strong brand to continue profiting among them, despite China’s sputtering economy.
Hope and Change in Iowa
For Democratic Sen. Bernie Sanders, Iowa caucuses may hold the key. Mr. Sanders is rising in stature but still has to show he can turn grass-roots excitement into electoral achievement. For some of Hillary Clinton’s nervous allies, he seems to be the heir to the Obama campaign of “hope and change,” while she is running on Mr. Obama’s approach to governing as president. The bottom line: If both Mr. Sanders and Republican Donald Trump can persuade newcomers to turn out, they could gain substantially. But the challenge for them is that teaching new voters the unfamiliar mechanics of the caucuses requires a campaign to invest in training and outreach.
Family Affair
While an increasing number of marriages in the U.S. are remarriages, uniting a step family takes a lot more time than people think—in fact, as long as 10 years. One whole year alone goes on learning about established rituals and creating new ones. The challenges are many: a complex hierarchy between stepchildren, thorny relations with ex-spouses, children who are still grieving their parents’ divorce or the death of a parent and feel threatened by the new marriage. But the biggest challenge, the experts say, is how to parent children that aren’t your own. If you have a blended family—or even if you don’t—read Elizabeth Bernstein’s column for more on how to move this process along as smoothly as possible.
How Election 2016 May Shift After Iowa
That Was Painless
While Hillary Clinton and Donald Trump are the current front-runners in the presidential election, WSJ’s Jerry Seib says that could be shaken up when the primaries begin.

Supreme Court Allows Juveniles Sentenced to Life to Seek Parole

Jury Indicts Two Antiabortion Activists Linked to Planned Parenthood Videos

Najib Razak Got $681 Million Personal Donation From Saudi Royals, Malaysia Says

Islamic State Plans Further Attacks on Europe, Europol Warns

Johnson Controls, Tyco to Merge in Inversion Deal

All-Day Breakfast Is a Pick-Me-Up for McDonald’s

How Bad Is Retail? Look at the Bonds

J.P. Morgan to Pay $1.42 Billion to Settle Most Lehman Claims
$18.36 billion
The approximate value of deals signed by Italian and Iranian companies late Monday ahead of a formal dinner between Iranian President Hassan Rouhani and Italian Prime Minister Matteo Renzi. Mr. Rouhani landed in Rome yesterday on his first overseas trip since the European Union lifted sanctions on Jan. 16.
The devices of power and productivity become weapons of everything once you have some alcohol in you.
Ronnie Rocha on smartphone use while drunk. In today’s A-Hed, modern-day ‘”drunk dialing” gets a tech check.
Going back to our story above, what are your thoughts on Mr. Sanders’ chances of winning the Democratic nomination? Send your comments, which we may edit before publication, to Please include your name and location.
—Compiled by Khadeeja Safdar
Responding to yesterday’s question about Donald Trump’s campaign strategy, Steve Meyer of South Carolina commented: “That Donald Trump is driving decisions in his campaign should come as no surprise. While you may not like him, as the CEO of his own business he knows the pitfalls of analysis paralysis, and the disingenuousness of the politically correct police who are pervasive in other campaigns. He tells it how he sees it and is not afraid to make the call. At this stage, time is crucial and slow decisions can be costly. Unfortunately, how he sees it is often way outside the realm of reasonableness and the same can be said of Bernie Sanders. Finally, I suspect that Donald Trump has concluded after many successful years in business, that his instincts are pretty good. This may all be a clue as we think about how he’d run a Trump Administration.” Hoagland of Virginia commented: “I view presidential campaigns and primaries as a dry run for how someone would govern in the White House. Do we really want a president who behaves like that? Or that virtually everything he says is distorted, grossly exaggerated or simply untrue?” And Kathleen Hann of Pennsylvania said: “Donald Trump speaks to and for me and no doubt to MANY others. I have my reservations about him as president but not as many as I have for Hillary and other potential candidates.”
This daily briefing is named "The 10-Point" after the nickname conferred by the editors of The Wall Street Journal on the lead column of the legendary "What's News" digest of top stories. Technically, "10-point" referred to the size of the typeface. The type is smaller now but the name lives on.
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Copyright 2016 Dow Jones & Company, Inc. All Rights Reserved.   


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