Hi Joe,
That's odd and frustrating, sorry. Is it a qiime script in the bash terminal that is giving you the error message "can't read /var/mail/IPython.display"? Or is this something you're doing in python rather than in the bash terminal? Could it be that something you're doing is mixing the default Mac OS X python install with the custom python install in macqiime (at /macqiime/anaconda/)? I haven't seen this error in the three El Capitan systems we're using, but I've only used QIIME directly from the bash terminal. It could be that I overlooked this usage and that you might need to (re)install something in the /macqiime/anaconda/ installation of python (e.g. you can use the conda command once you have macqiime sourced in the terminal)? If there's a problem with IPython within the macqiime python install, updating with conda might help.
And, on the side, when you run print_qiime_config.py -t in the terminal, it doesn't give any errors?
And, one other thing I always double-check: Updates to OS X will often break XQuartz, and reinstalling that has solved some confusing problems in the past (though I'm doubtful of whether that could be the problem in this case).
Thanks, and sorry for the trouble.
Cheers,
Jeff