.Sergio Ermotti, ceo of UBS GroupStefan Wermuth|Bloomberg|Getty ImagesZURICH, Switzerland u00ea u00b7 UBS chief executive officer Sergio Ermotti claimed Wednesday that market volatility could intensify in the 2nd half of the year, but he does certainly not strongly believe the U.S. is moving into a recession.Global equities found sharp sell-offs recently as capitalists digested weak economical data out of the USA which increased anxieties concerning an economic recession on earth's biggest economic climate. It also questioned concerning whether the Federal Get needed to have to become much less hawkish along with its own monetary plan standpoint. The central bank kept costs on hold in overdue July at a 23-year high.When asked about the overview for the U.S. economic condition, Ermotti pointed out: "Certainly not necessarily a financial crisis, yet definitely a downturn is achievable."" The macroeconomic clues are actually not clear sufficient to speak about economic slumps, and in fact, it's most likely untimely. What we know is that the Fed has enough capability to action in and help that, although it's heading to take a while, whatever they do to become then transmitted in to the economy," the chief executive officer informed CNBC on Wednesday after the bank disclosed its second-quarter results.UBS counts on that the Federal Book will definitely cut prices by a minimum of fifty manner factors this year. Right now, traders are split between a fifty and also a 25 basis aspect cut at the Fed's next appointment in September, depending on to LSEG data.Speaking to CNBC, Ermotti claimed that we are very likely to view much higher market dryness in the 2nd fifty percent of the year, partially due to the U.S. election in November." That's one variable, yet likewise, if I look at the total geopolitical image, if I look at the macroeconomic picture, what our team found in the last couple of weeks in relations to volatility, which, in my standpoint, is actually a crystal clear indication of the delicacy of some elements of the device, u00e2 $ u00a6 one should count on most definitely a higher level of dryness," he said.Another uncertainty moving forward is actually monetary plan and whether reserve banks will have to reduce fees extra aggressively to battle a stagnation in the economic condition. In Switzerland, where UBS is actually headquartered, the central bank has reduced prices two times this year. The International Central Bank and the Bank of England possess each introduced one cut so far." Understanding the activities which are theu00c2 unknowns coming up like the united state governmental vote-casting, we came to be unconcerned along with a really low dryness, currently our team are shifting to an even more ordinary regime," Bruno Verstraete, creator of Lakefield Wide range Management told CNBC Wednesday." In the circumstance of UBS, [even more dryness is] not automatically a bad factor, since additional dryness suggests additional exchanging profit," he included.