The problem is that a scheduledTimer will not get called while the main thread is tracking touches. You need to schedule the timer in the main run loop.
So instead of doing
[NSTimer scheduledTimerWithTimeInterval:1.0f target:self selector:@selector(updateLabel:) userInfo:nil repeats:YES];
use
NSTimer* timer = [NSTimer timerWithTimeInterval:1.0f target:self selector:@selector(updateLabel:) userInfo:nil repeats:YES];
[[NSRunLoop mainRunLoop] addTimer:timer forMode:NSRunLoopCommonModes];