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

The Wall Street Journal
Good morning,
Filling the Roster
The real-estate company controlled by Jared Kushner, President-elect Donald Trump’s son-in-law, has hundreds of millions of dollars in loans outstanding from domestic and foreign financial institutions, and markets condominiums to wealthy U.S. and foreign buyers. The firm has also obtained development financing through a controversial U.S. program that sells green cards. We report that those and other business activities could raise conflicts of interest if Mr. Kushner is named to a staff position in the Trump administration. In other transition news, Mr. Trump has chosen House Budget Committee Chairman Tom Price (R., Ga.) as his nominee for secretary of the Health and Human Services Department, putting the six-term congressman in charge of the sprawling agency that will likely dismantle Democrats’ 2010 health-care overhaul. Today Mr. Trump will meet with Mitt Romney for a second time amid a messy—and unusually public—debate over who should get the nation’s top diplomatic post as secretary of state.

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Blood Loss
Theranos, the blood-testing company that ran afoul of regulators after a spate of Wall Street Journal reports revealed highly questionable practices, received much of its funding from high-profile private investors. These were often individuals who aren’t part of the ecosystem that typically backs startups and could see their stakes wiped out by the blood-testing company’s regulatory and technological troubles. We report that several large investments from families and individuals helped infuse Theranos with $632 million in its latest funding round, which stretched from 2014 to 2015. Those investors include Rupert Murdoch—executive chairman of 21st Century Fox and News Corp, which is the parent of The Wall Street Journal—and family-controlled Cox Enterprises. They put about $100 million each into Theranos. Another prominent investor was Riley Bechtel, chairman of closely held construction giant Bechtel Group. Meanwhile, Robertson Stephens co-founder Robert Colman accused Theranos in a lawsuit filed Monday of making false and misleading claims about its operations and technology while soliciting money from investors.
Extra Credit
China’s newest tool for social control is a credit rating for everything. Beijing wants to give every citizen a score based on behavior such as spending habits, turnstile violations and filial piety, which can blacklist citizens from loans, jobs, air travel. Hangzhou’s local government is piloting the “social credit” system the Communist Party has said it wants to roll out nationwide by 2020, a digital reboot of the methods of social control the regime uses to avert threats to its legitimacy. More than three dozen local governments across China are beginning to compile digital records of social and financial behavior to rate creditworthiness. The endeavor reinforces President Xi Jinping’s campaign to tighten his grip on the country and dictate morality at a time of economic uncertainty that threatens to undermine the party.
Talk It Out
New tweaks are improving the age-old practice of talk therapy. Doing therapy in the morning, taking a nap afterward or adding a medication that enhances learning are just a few of the methods scientists are investigating to make cognitive behavioral therapy work better. We explore several studies examining these strategies and others, such as exercising after exposure therapy. We also report that while most people are more easily distracted as they get older, there might be a benefit to a reduced ability to focus. Research is finding that greater distractibility is often associated with greater creativity in problem solving and can facilitate learning new information. And in other health news, more hospitals are testing the mental fitness of older patients before surgery amid evidence that the trauma of an operation can accelerate cognitive decline.
TODAY'S VIDEO
Ohio State Attack
That Was Painless
At least 11 people were injured Monday at Ohio State University after a student identified as 18-year-old Abdul Razak Ali Artan allegedly jumped a curb in a motor vehicle then slashed pedestrians with a butcher knife before he was shot and killed.
TOP STORIES
U.S.

Energy Firms Step Up Business Investment

Will Political Reality Derail Markets’ Bet on Donald Trump?
WORLD

Plane Crash in Colombia Kills 76, Including Members of a Brazilian Soccer Team

Donald Trump’s Line on Cuba Unsettles Latin America
BUSINESS

Activist Elliott Management Calls for Change at Cognizant

Marlboro Black Lures Millennials Who Shunned Cowboy Image
MARKETS

Stocks Pull Back After Rally; Oil Rises

How to Kill the Volcker Rule? Don’t Enforce It
NUMBER OF THE DAY
120,000
The number of temporary workers Amazon is adding at its U.S. warehouses for the peak sales season that runs roughly from November through December. The retail giant has been using technology ranging from touch screens to robots to shrink the time it takes to train new hires to as little as two days, compared with up to six weeks for a conventional warehouse job.
QUOTE OF THE DAY
People are moving to neighborhoods farther away from the fighting but there is no safety in Aleppo, we are just moving from one death to another.
Mosaab Khalaf, a member of the local opposition council, on Syrian regime forces and their allies capturing roughly a third of the opposition-controlled territory in the city of Aleppo.
TODAY'S QUESTION
Going back to our story above, what are your thoughts on Beijing’s social credit system? Send your comments, which we may edit before publication, to 10point@wsj.com. Please include your name and location.
—Compiled by Margaret Rawson
READER RESPONSE
Responding to yesterday’s question on the death of Fidel Castro, David Fleenor of North Carolina said: “Having grown up in the 1950s in South Florida among the first wave of Cuban immigrants, I understand their jubilation celebrating Mr. Castro’s death. All the Cuban children I grew up with sought education, obtained U.S. citizenship and enjoyed successful careers and lives in America. Having seen their parents denied, in their birth country, the freedoms we take for granted, by a brutal communist dictatorship; their celebration of his death comes from 50 years of torment watching him destroy their beloved country.” David Lazarus of New Jersey shared: “Good riddance to a tyrant. Nothing changes in Cuba and our new president should only engage them if the younger Castro makes positive changes.” And Jim Pursley of Brazil weighed in: “The U.S. should continue the thaw that began under President Obama. Isn’t it a bit ridiculous to hold an embargo over a country when conditions have changed dramatically since they were enacted? The U.S. has normal diplomatic and commercial relations with some pretty odious governments, and arguably a U.S. presence allows the U.S. soft power to work its magic…A pragmatist and a humanist would normalize relations with Cuba. Only an embittered person living in the past would not welcome a thaw, in my opinion.”

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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