How a Whistleblower Could Help Elon Musk in His Case Against Twitter
Some see more pain ahead, perhaps for good reason. Three things to consider:
The U.S. payrolls report on Friday is likely to show that hiring slowed in August.
September is historically the worst month for markets, adding to investors’ jitters.
The Fed is expected to raise interest rates to their highest level since 2008 at the next scheduled meeting of its board of governors, in a few weeks.
“It’s a challenging few weeks ahead,” Lee Ferridge of State Street Global Markets told The Times’s Joe Rennison. “The Fed has talked about causing pain, and now markets have to react.”
A big foe for a new data privacy bill
House Speaker Nancy Pelosi is caught in a showdown between her home state, California, and Washington colleagues pushing for a sweeping data privacy legislation. The bill, the American Data Privacy and Protection Act, received overwhelming support in a bipartisan committee on a vote of 52 to 3 last month and is now awaiting a House vote.
The pressure for lawmakers to act fast intensified last week following allegations by Twitter’s former security chief, Peiter Zatko, that the social media company misled federal regulators about its security vulnerabilities. Representative Jan Schakowsky, Democrat of Illinois, a co-author of the data privacy bill, told DealBook that she was “redoubling” efforts on the measure after Zatko’s “troubling” revelations: “More than anything, it shows that Americans, no matter where they live, need fundamental privacy protections online,” she said in a statement. “The status quo has once again failed American consumers.” Adding to the momentum: Zatko is scheduled to testify on Sept. 13 before the Senate Judiciary Committee.
And a coalition of 48 groups made up of civil rights, privacy, and consumer advocates on Thursday sent a letter to Pelosi urging her to move “expeditiously,” arguing that the federal bill will “for the first time, create real and lasting protections for the personal data of hundreds of millions of consumers” by addressing algorithmic bias, data collection and correction, targeted youth marketing, and more.
But the bill is facing pushback from California lawmakers. The measure, which allows consumers to sue to have misinformation about them corrected, addresses concerns that have come up since the European Union’s G.D.P.R. went into effect in 2018, such as the mental health crisis among teens driven partly by social media, a senior staff member for Schakowsky told DealBook. It has “more teeth,” than existing measures, he contends. California officials do not agree. The California Data Privacy Protection Agency protested this month that the bill, which it says is inferior to its own data protection law, will actually harm consumers. Similar complaints have come from Gov. Gavin Newsom and other California lawmakers who worry the federal bill comes up short on data protection.