If we go into questions of what a maximally malicious phone could do, rather than a question of what a normal phone actually does...
The Faraday cage would still leave the accelerometer fully functional. Now you might say "but because of drift it will rapidly diverge". Yes and no. It turns out that it's possible to detect based on "gestures" where you might be. Works better for winding irregular streets than in a gridlike street network.
If we go full Sherlock Holmes, the microphone might also overhear trains and music from stores giving away the location.