.Sergio Ermotti, chief executive officer of UBS GroupStefan Wermuth|Bloomberg|Getty ImagesZURICH, Switzerland Double A u00b7 UBS chief executive officer Sergio Ermotti pointed out Wednesday that market volatility can heighten in the second fifty percent of the year, however he carries out not believe the USA is moving right into a recession.Global equities saw sharp auctions recently as capitalists digested weak economical records out of the USA which reared concerns concerning an economic recession around the world's most extensive economic climate. It also raised questions concerning whether the Federal Book needed to have to become much less hawkish along with its financial plan posture. The reserve bank maintained fees on hold in overdue July at a 23-year high.When asked them about the overview for the USA economic climate, Ermotti claimed: "Certainly not automatically a financial crisis, however definitely a slowdown is possible."" The macroeconomic indicators are not clear enough to refer to downturns, as well as really, it's perhaps untimely. What we understand is actually that the Fed possesses good enough capability to come in and help that, although it's going to take time, whatever they carry out to become at that point sent in to the economic condition," the chief executive officer said to CNBC on Wednesday after the bank reported its own second-quarter results.UBS counts on that the Federal Book will cut rates by a minimum of fifty manner factors this year. Currently, investors are divided between a fifty and also a 25 manner aspect cut at the Fed's next meeting in September, depending on to LSEG data.Speaking to CNBC, Ermotti mentioned that we are most likely to see much higher market volatility in the 2nd one-half of the year, partly due to the united state political election in November." That's one factor, however likewise, if I examine the overall geopolitical picture, if I take a look at the macroeconomic picture, what our experts saw in the final number of full weeks in regards to dryness, which, in my point of view, is actually a very clear indicator of the frailty of some factors of the device, u00e2 $ u00a6 one must count on absolutely a much higher level of volatility," he said.Another anxiety going forward is financial policy and whether reserve banks are going to have to reduce fees much more aggressively to deal with a slowdown in the economic condition. In Switzerland, where UBS is headquartered, the reserve bank has cut costs two times this year. The European Reserve Bank as well as the Bank of England have each introduced one cut so far." Recognizing the events which are actually theu00c2 unknowns on the horizon like the united state presidential political election, our experts ended up being obsequious along with a quite reduced dryness, now we are actually changing to a much more regular routine," Bruno Verstraete, creator of Lakefield Riches Administration informed CNBC Wednesday." In the circumstance of UBS, [more volatility is actually] not always a bad factor, considering that even more dryness means more investing earnings," he included.