Last year was “the year of the data breach,” Tim Pawlenty told the of House Financial Services Committee. The president and CEO of the Financial Services Roundtable advocated for a strong data breach and notification bill, but urged lawmakers to avoid mandating specific payment technologies. “Effective defense strategies will require prevention across the entire interconnected payments system, not just one area or element of that system,” he said, noting any legislation in this area needed to be flexible and scalable. With that in mind, Pawlenty threw his support behind the Data Security Act of 2015, a bill introduced by Randy Neugebauer (R-Texas) and John Carney (D-Del.).
September Blues... Or Opportunity?
As the spring and summer progress, Congress will be approaching some major deadlines, coming to a head on Sept. 30. In his legislative outlook, Andy Friedman of The Washington Update warns investors that the massive negotiation could lead to market volatility and new tax changes. By or around Sept. 30, Congress must reach agreement on raising the debt ceiling, highway funding, government funding, and tax extenders. “I have long said that a market decline over concern about Congress’ impending failure to act is a buying opportunity,” Friedman writes. “Congress will act – likely at the last minute – at which point the market will recover.”
A Different Strategy
Though many financial professionals are worried about the impact that rising interest rates will have on the economy, perhaps the sky isn’t falling after all. Bond yields have spiked in the last two weeks, but the stock market hasn’t taken a serious hit. Though there may be hiccups along the way, RiskReversal editor Dan Nathan suggested that modestly rising rates would actually be a better scenario for the U.S. stock market than the historic low rates of late. According to industry commentators like Josh Brown and Brian Kelly, an “everything is going to be fine” mentality when it comes to rising interest rates is starting to replace the doomsday fears on Wall Street.
