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

The Wall Street Journal
Good morning,
Welcome to Washington
The nation’s new, all-Republican leadership begins to take power Tuesday with an ambitious agenda of tax cuts, regulation rollbacks and repeal of President Obama’s health law, but they face a complicated legislative path. House Republicans on Monday night took steps to eliminate the independence of the Office of Congressional Ethics, the chamber’s nonpartisan ethics board, a move that triggered pushback from Democrats and government watchdog groups. The measure is now part of the package of new House rules set to come up for a vote on the House floor Tuesday. The Senate’s opening move in dismantling the Affordable Care Act, also coming as soon as Tuesday, will be to initiate a controversial process to repeal parts of the law. Meanwhile, tensions within the GOP over how to handle Russia are becoming increasingly public as the Senate prepares for confirmation hearings on President-elect Trump’s nominee for secretary of state, Rex Tillerson, and presses ahead with a review of alleged Russian cyberattacks during the 2016 election.

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Rental Woes
Landlords of upscale properties across the U.S. are bracing for rough conditions in 2017 that will likely force them to slash rents and offer deep concessions as a glut of supply brings a seven-year luxury-apartment boom to an end. Developers in New York are already offering up to three months of free rent on some projects. In Los Angeles, some landlords are offering six months of free parking, and some in Houston are waiving security deposits. The slowdown is being driven not by a pullback in demand but rather a flood of new apartments, with most recent new construction on the high end. Rising rents in the past few years have helped buoy the housing market, but the flattening of rents in 2017 could shift the financial equation back toward renting, posing potential challenges to the housing market.
Tax-Deferred Misgivings
The champions of the 401(k) now lament the revolution they started. More than three decades since its advent, the tax-deferred savings tool has fallen short of its early backers’ rosy expectations, while 52% of U.S. households are at risk of running low on money during retirement. What proponents of the now dominant vehicle for retirement savings didn’t anticipate was that it would largely replace pensions as big employers looked for ways to cut expenses. Some early backers acknowledge they used forecasts that were too optimistic to sell the 401(k) in its early days. Others say its proliferation has exposed workers to big drops in the stock market and high fees from Wall Street money managers. We look at the several attempts that have been made to make the 401(k) more effective by changing the behavior of savers and companies.
A Few Good Scouts
The best teams in college football have completely rethought the way they prepare for upcoming opponents. And no teams have thought it through better than Alabama and Clemson, who are back in next week’s College Football Playoff national championship in a rematch of last year’s title game that the Crimson Tide won, 45-40. This season, with Alabama chasing its fifth national championship in eight years, the school that was already better than everybody else figured out how to practice better than everybody else, too, by reinventing the scout team. Now, in key positions like quarterback and running back, Alabama uses practice clones who don’t play for Alabama—at least not anymore. Because they’re Alabama alumni. We explain how Alabama coach Nick Saban found another loophole to exploit, and other coaches scrambled to catch up.
As Turkey Buries Dead, ISIS Claims Responsibility
That Was Painless
Islamic State claimed responsibility for the New Year’s attack on an upscale Istanbul nightclub that killed at least 39 people, saying it targeted Turkey in retaliation for military operations against the extremist group in neighboring Syria.

The Method in Donald Trump’s Maddening Communications Habits

Rhodes Scholar’s Mother Helped Him With Autism Breakthrough

Russia Blocking Afghan Peace Deal

Israel Lawmakers Plan Bill to Annex West Bank Settlement

SpaceX Launches Set To Resume In January

Businesses Ramp Up Investment Despite Rising Rates

For Financials, Expectations Are Already High

Central Banks Loosening Their Grip on Markets
The cap on the amount of cash, in Swiss francs, that a person can use on a single purchase in Switzerland without raising red flags, is equivalent to about $97,700. In Spain, that limit is equivalent to about $2,600 a purchase; in France it is about $1,050. The Swiss love cash—an affinity that shows no sign of abating and flies in the face of a global trend.
The scene inside the prison is terrible. It’s shocking to see how brutal a person can be.
Pedro Florencio, secretary for prisons administration in Brazil’s Amazonas state, on a prison riot that killed about 60 inmates. The uprising, sparked by a fight between rival drug gangs, lasted more than 17 hours.
Going back to our story above, what are your thoughts on the use of 401(k) plans? Send your comments, which we may edit before publication, to Please include your name and location.
—Compiled by Margaret Rawson
Responding to Friday’s question on Mr. Obama’s actions against Russia, Eric Taussig of New Hampshire commented: “The president’s actions against Russia were more than appropriate, but should have been taken and publicized months ago. One would hope that the naive president-elect takes the time to research what has happened before embracing the sly and disingenuous Russian Bear.” Thomas E. Lindholtz of California weighed in: “Mr. Obama’s pitiful attempt to appear strong and decisive in his final days has all the reason and rationality of a death rattle.” And John Kilburn of New Hampshire shared: “Mr. Obama is intent on poisoning the well on his way out of office.”

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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