Capital Journal Friday PM: Top Election 2016 Stories of the Week, More

Mar 4, 2016 2:44 pm ET

TRUMP REVERSES HIS STANCE ON TORTURE:^[1] Leading GOP presidential candidate Donald Trump said Friday he wouldn't order the U.S. military to break international laws, addressing criticism from military and legal experts that his policies regarding torture and killing the family members of terrorists would violate the Geneva Convention. Mr. Trump, in a statement to The Wall Street Journal, said he would "use every legal power that I have to stop these terrorist enemies. I do, however, understand that the United States is bound by laws and treaties and I will not order our military or other officials to violate those laws and will see k their advice on such matters. I will not order a military officer to disobey the law. It is clear that as president I will be bound by laws just like all Americans and I will meet those responsibilities."

: CARLOS OSORIO/ASSOCIATED PRESS

This appears to be a reversal from Thursday night's GOP debate in Detroit, when Mr. Trump stood by earlier proposals to do things that were a "hell of a lot worse" than waterboarding terrorist suspects and also authorize the military to kill family members of terrorists. Damian Paletta reports ^[2].

Plus: Two of the top foreign policy experts cited ^[3] by Mr. Trump at the GOP debate said Friday that they have no plans to endorse any candidate … As Mr. Trump ascends on a path toward ^[4] becoming the first GOP presidential nominee from New York in 60 years, the Republican Party in his home state is torn over his rise … The reasons traders are unruffled about a possible President Trump ^[5] tell us a lot about how markets assess political risk … In Michigan on Friday, the GOP front-runner gave no signal he is moderating his tone ^[6] in a pivot to the general election …� � At CPAC on Friday, Republican National Committee Chairman Reince Priebus sought to reassure the room full of activists ^[7] balking at the prospect of the political elite trying to hijack the nominating process. He said a contested convention was "highly, highly unlikely" … Full election 2016 coverage ^[8].

WSJ STORIES YOU SHOULDN'T MISS

HIRING IN U.S. REBOUNDS, BUT WAGES SLIP BACK: ^[9] U.S. job growth rebounded in February, easing fears of a slowdown tied to market volatility and weakness abroad. Employers added 242,000 jobs and the prior two months were revised up by 30,000, the Labor Department said Friday. Unemployment held steady at 4.9% while more Americans jumped into the labor force, pushing the participation rate to its highest level in a year. The big downside: Americans' wages declined 0.1% from the prior month, putting the annual gain at just 2.2%. The weak wage performance should leave the Federal Reserve on hold at its meeting this month. Jeffrey Sparshott reports ^[10].

More: The report reinforces the notion the economy is getting stronger ^[11] despite turbulence abroad … The report may undershoot raises ^[12] for the bulk of U.S. workers …. What the unemployment rate shows ^[13] … by the numbers ^[14] … 14 charts ^[15] … economists react ^[16].

: FRANK FRANKLIN II/ASSOCIATED PRESS

CLINTON PROPOSES TAX HIT FOR COMPANIES MOVING JOBS OVERSEAS:^[17] Companies that move jobs and production out of the U.S. would lose previous years' tax breaks under a proposal Democratic presidential candidate Hillary Clinton is set to release Friday. The U.S. would seek to "claw back" previous tax incentives for research and development and for domestic manufacturing associated with facilities or jobs that move abroad, according to a campaign aide who spoke in advance of Mrs. Clinton's speech in Detroit. Richard Rubin and Laura Meckler report ^[18].

SANDERS'S PLAN WOULD RAISE TAXES BY 34%:^[19] Democratic presidential candidate Bernie Sanders's tax plan is just as revolutionary as he promises—raising federal taxes by 34% and cutting the after-tax incomes of the wealthiest households nearly in half, according to an analysis released Friday. Mr. Sanders's plan, designed to pay for a significant expansion of government spending, is the largest and most dramatic of all the presidential candidates' and the least likely to find support from either party in Congress. Richard Rubin reports ^[20].

: REUTERS

DEBT CRISIS LOOMS OVER PUERTO RICO GOP PRIMARY:^[21] The battle for Republican presidential delegates jumps Sunday to Puerto Rico, a highly unpredictable contest on an island racked by a deepening debt crisis that could have ripples in the general election. Political analysts say how the candidates address the crisis could help determine the vote in the battleground state of Florida, home to nearly a million Puerto Ricans, many of whom have migrated in recent years as the island's economy sputters. Nick Timiraos reports ^[22].

FED EASES PLAN TO LIMIT BIG BANKS' CREDIT EXPOSURE TO ONE ANOTHER:^[23] The Federal Reserve on Friday eased its plan to limit big banks' credit exposure to one another, taking into account industry concerns as it continues to hone rules aimed at restricting the financial interconnections that exacerbated the 2008 crisis. The eight U.S. banks considered "systemically important" by regulators and foreign-owned banks with U.S. assets of more than $500 billion will face the toughest limits. Ryan Tracy and Donna Borak report ^[24].

ALSO IN THE NEWS

As Apple and the Justice Department spar ^[25] over access to the phone of a San Bernardino shooter, several groups of government officials and private-sector executives want to create a commission to probe the challenging issues posed by encryption.

Canadian Pacific Railway's bid to acquire Norfolk Southern faces another obstacle ^[26] as the top two lawmakers on a Senate subcommittee for antitrust matters are raising concerns about the deal.

The Supreme Court's April sitting was announced Friday ^[27], setting its final plans for arguments in the 2015-16 term. April, typically stocked with significant appeals, features blockbuster cases involving executive power, immigration and public corruption.

The U.S. trade deficit widened in January ^[28] as both exports and imports decreased, indicating slower global economic growth remains a strain on the domestic economy. The trade gap expanded 2.2% from the prior month to a seasonally adjusted $45.68 billion, the Commerce Department said.

The leaders of Germany, France, Italy and the U.K. urged Russian President Vladimir Putin ^[29] on Friday to build on the recent cessation of hostilities in Syria to pave the way for discussions on a more lasting peace in the war-torn country in Geneva next week, the British government said. In at least a dozen rebel-held towns and neighborhoods on Friday, Syrians rallied with flags, banners and slogans ^[30] to demand the end of Bashar al-Assad's government.

Turkey detained the executives of a top domestic conglomerate ^[31] and appointed a trustee to take over a leading opposition newspaper, as authorities expand their crackdown on the political rivals of President Recep Tayyip Erdogan.

Two Italian hostages who were kidnapped in Libya last July have been freed ^[32] and are in the hands local militia in the western Libyan city of Sabratha, but two other hostages are feared dead after a shootout, according to the Italian government.

The European Commission is seeking to restore free movement ^[33] in Europe's border-free area by the end of the year, provided Turkey stops migrants from leaving its shores and European countries agree to take more people trapped in Greece.

Facebook plans to boost its tax payments in the U.K.^[34], the latest tech giant to change its tax structure under mounting political pressure from European governments.

AMC Entertainment agreed to buy Carmike Cinemas ^[35] in a cash deal that would make a Chinese-owned company the largest movie-theater operator in the U.S.

Banks are starting to experiment ^[36] with a new way of reducing credit-card fraud: tracking their customers' cellphones.

Evidence that Zika virus can cause complications ^[37] such as infant brain damage and a paralyzing neurological disorder is growing stronger, with new research made public this week.

A decadelong commodity boom brought ^[38] sleek shopping malls, tidy brick homes and dozens of private schools to Kitwe, Zambia, the palm-pocked mining town in the heart of Africa. Now Zambia faces economic and social crisis as copper prices plunge and foreign investment from China wanes.

Monsanto Co. on Friday threatened to pull ^[39] its genetically-modified crop technology from India in protest of the government's plans for further price controls over its products.

VIDEO: IN 2016 ELECTIONS, WHO IS 'THE ESTABLISHMENT'?^[40]

A common phrase in this election season is "the establishment"—politicians run against it, embrace it or get run over by it. But who's in this supposedly omnipotent group of decision makers? WSJ decodes the phrase ^[41].

More video: GOP Debate in Two Minutes ^[42] | Trump Touts His 'Flexibility'^[43] | Rubio: Trum p Is Trying to Con People ^[44] | Rubio Attacks Trump for Hiring Workers From Abroad ^[45] | Kasich on GOP Bickering ^[46] | Cruz: Trump Wrote Checks to Hillary Clinton ^[47] | 'Little Marco' vs. 'Big Donald' at GOP Debate ^[48] | Trump Responds to 'Small Hands' Insult | All election 2016 video ^[49]^[50]

OTHER TOP STORIES OF THE WEEK

SUPER TUESDAY VOTING OFFERS CLUES TOWARD ROAD AHEAD:^[51] Donald Trump and Hillary Clinton saw their strategies vindicated and even reached beyond their expected bases on Super Tuesday, analysis of early county-level voting results shows. Scott Calvert and Dante Chinni reported.

THE DAMAGE CAMPAIGN 2016 CAN DO:^[52] The unusual level of nastiness during Campaign 2016 figures to make the next president's job of mending the nation and upholding the dignity of office all the more difficult, wrote Jerry Seib.

ELECTION 2016 WEEKLY WRAP-UP: On Super Tuesday, Donald Trump dominated in economically challenged cities, while Hillary Clinton drew sizable support ^[53] among Democrats in more-affluent areas … Interactive: Who's winning the delegate race?^[54] … Texas Sen. Ted Cruz won his home state ^[55], Oklahoma and Alaska ensuring that the race for the GOP nomination will stretch into spring … Republican leaders who had been hoping Mr. Trump would stumble ^[56] are facing tough choices and perhaps a moment of truth, wrote Jerry Seib … Mrs. Clinton swept the delegate-rich primary states ^[57] of Massachusetts, Texas and throughout the South in a sign that the Democratic presidential front-runner was vaulting to a commanding lead in the race for the nomination … Sen. Bernie Sanders attacked free-trade pacts ^[58] and Mrs. Clinton's campaign promised job-creation policies as the Democratic race mov ed to Michigan … He promised to press ahead in the face of her growing delegate lead ^[59] … Last weekend, Mrs. Clinton rode overwhelming black support ^[60] to a landslide victory in South Carolina … The GOP divide over Mr. Trump is growing ^[61] … Wealthy GOP donors who have so far stayed on the sidelines ^[62] or hedged their bets by donating to multiple candidates may soon need to decide whether to back Mr. Trump or sit out the election altogether … Mitt Romney, the 2012 Republican presidential nominee, assailed Mr. Trump ^[63] as a "fraud" on Thursday and suggested a path to block the New York businessman … Mr. Trump and a small team of confidants began planning ^[64] his White House bid just weeks after Mr. Romney's 2012 loss … Confronting a furious onslaught by the Republican Party establishment, Mr. Trump struck back at Thursday's debate ^[65], flinging insults and demonstrating the same bravado he showed before he won a single vote … Sens. Marco Rubio and Ted Cruz were in attack mode ^[66] at the debate while Mr. Trump tried to stay above the fray. Neither side was completely successful, wrote Jerry Seib … Republicans hoping to derail Mr. Trump's momentum and set the stage for a contested convention ^[67] need victories in the winner-take-all Florida and Ohio primaries on March 15 … Record turnout is one potential bright spot ^[68] for Republicans emerging from the civil war engulfing their party's presidential primary … Ben Carson said he no longer sees "a political path forward"^[69] for his campaign … Antiestablishment fervor is now washing into Republican congressional primaries ^[70], where a collection of influential GOP incumbents face the prospect of being pushed into runoffs …A former State Department staffer has been granted immunity ^[71] to talk to investigators about Mrs. Clinton's use of a private email server to do government business while she was secretary of state.

JUSTICES PROBE ABORTION LAW:^[72] A Texas law regulating abortion providers appeared in jeopardy after a vigorous and testy Supreme Court argument session went into overtime, with Justice Anthony Kennedy likely again the deciding vote on an issue that deeply divides the court and American public. Jess Bravin and Brent Kendall reported. Plus: Supreme Court Justice Clarence Thomas ended a decadelo ng silence ^[73] during the high court's oral arguments, asking several questions in a case about domestic violence and firearm possession.

PENTAGON DEPLOYS CYBERWEAPONS AGAINST ISIS: ^[74]The U.S. military is using new digital weapons to try to neutralize Islamic State's ability to communicate, control forces and manage finances in Syria and Iraq, top Pentagon officials said Monday, providing fresh details about the newest front against the terror network. Damian Paletta and Felicia Schwartz reported.

FBI ADMITS 'MISTAKE' MADE WITH SAN BERNARDINO IPHONE:^[75] FBI director James Comey conceded that a mistake was made in the early days of the investigation into the San Bernardino, Calif., terrorism attack, making it harder to get data from one of the shooters' phones. Devlin Barrett and Daisuke Wakabayashi reported. Plus: A judge in New York sided with Apple ^[76] against the Justice Department on Monday, in a fight about whether the company can be forced to help unlock the phone—a ruling that could affect a similar, much-watched case about an assailant's phone.

WASHINGTON BATTLES OVER MUNIS:^[77] Some federal regulators trying to shore up the banking system aren't convinced municipal bonds would be easy to sell in a crisis. The contrast has led to an unusual showdown. Andrew Ackerman reported.

FEEDBACK: This is the Friday afternoon newsletter from The Wall Street Journal's Washington bureau. Send your tips, feedback and suggestions for recommended reading to editor Kate Milani at kate.milani@wsj.com ^[78].

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