.Sergio Ermotti, ceo of UBS GroupStefan Wermuth|Bloomberg|Getty ImagesZURICH, Switzerland Double A u00b7 UBS CEO Sergio Ermotti stated Wednesday that market dryness could intensify in the 2nd one-half of the year, but he performs certainly not strongly believe the united state is moving into a recession.Global equities observed stinging sell-offs recently as clients digested unstable economic information away from the USA which reared worries concerning an economic slump worldwide's largest economic climate. It likewise questioned regarding whether the Federal Get needed to have to be a lot less hawkish along with its financial plan posture. The reserve bank kept costs on hold in overdue July at a 23-year high.When asked about the overview for the USA economic situation, Ermotti pointed out: "Certainly not automatically an economic downturn, but undoubtedly a slowdown is actually feasible."" The macroeconomic indications are actually not clear adequate to speak about economic crises, as well as really, it is actually possibly early. What we understand is actually that the Fed has enough capacity to come in as well as assistance that, although it's mosting likely to take some time, whatever they carry out to be after that transferred into the economic situation," the CEO informed CNBC on Wednesday after the bank stated its own second-quarter results.UBS anticipates that the Federal Get are going to cut fees by at least fifty manner points this year. Right now, traders are actually divided in between a 50 and also a 25 manner point cut at the Fed's following conference in September, depending on to LSEG data.Speaking to CNBC, Ermotti pointed out that our experts are actually very likely to find higher market dryness in the 2nd one-half of the year, partially as a result of the USA election in November." That is actually one variable, but additionally, if I look at the overall geopolitical photo, if I examine the macroeconomic image, what our experts observed in the last number of weeks in regards to dryness, which, in my standpoint, is actually a crystal clear sign of the delicacy of some elements of the device, u00e2 $ u00a6 one ought to expect most definitely a much higher level of volatility," he said.Another uncertainty going ahead is actually monetary plan and whether reserve banks will certainly must cut costs more boldy to deal with a decline in the economic condition. In Switzerland, where UBS is headquartered, the reserve bank has cut costs twice this year. The International Central Bank as well as the Bank of England possess each revealed one slice so far." Knowing the occasions which are theu00c2 unknowns imminent like the united state governmental vote-casting, our company came to be obsequious along with a quite low dryness, right now our company are switching to a much more ordinary program," Bruno Verstraete, creator of Lakefield Riches Control said to CNBC Wednesday." In the situation of UBS, [additional volatility is] not automatically a negative thing, due to the fact that additional dryness suggests additional trading revenue," he incorporated.