Yes, but only due to conjunction with the Word; and they believe the proper administration of baptism imparts faith, and so faith--which they believe is necessary--is also invariably present for the infant.Do they hold to water baptism imparting saving grace to the infant then, and how would they see/view the spiritual presense of Jesus actually in Communion then?
You must be thinking of Law and Gospel, which is not the same idea as dispensational divisions between eras of law and grace, or "under law" vs. "under grace." Neither is the disjunction of Law and Gospel as the two chief kinds of word in Scripture exclusively the domain of Lutherans; but is a long-held distinction recognized by Protestants generally. Confessional Lutheranism (ala Walther) in the USA did make this disjunction radical, essential, and indispensable to their hermeneutic and preaching.isn't there that really big difference to them between Law/Grace, in same fashion as somone holding to a Dispensational theology view might?
Doubtful.do they have a Bible version thatis recommended by their Church for use?