.Sergio Ermotti, chief executive officer of UBS GroupStefan Wermuth|Bloomberg|Getty ImagesZURICH, Switzerland Double A u00b7 UBS chief executive officer Sergio Ermotti mentioned Wednesday that market volatility might intensify in the 2nd half of the year, but he carries out not believe the united state is actually moving right into a recession.Global equities viewed stinging auctions last week as clients digested unstable economical data away from the U.S. which raised fears about a financial recession on the planet's largest economic situation. It additionally questioned regarding whether the Federal Get needed to become less hawkish along with its own financial policy posture. The reserve bank kept prices on hold in late July at a 23-year high.When asked about the outlook for the U.S. economy, Ermotti mentioned: "Certainly not always a financial crisis, yet most definitely a downturn is actually feasible."" The macroeconomic indicators are actually unclear sufficient to refer to downturns, as well as actually, it is actually perhaps untimely. What we understand is actually that the Fed possesses sufficient ability to action in as well as assistance that, although it is actually heading to take a while, whatever they carry out to become after that sent in to the economic condition," the CEO told CNBC on Wednesday after the banking company stated its own second-quarter results.UBS counts on that the Federal Reserve will reduce costs by at least fifty manner factors this year. At the moment, investors are divided in between a fifty as well as a 25 basis aspect cut at the Fed's following appointment in September, according to LSEG data.Speaking to CNBC, Ermotti said that our experts are probably to observe greater market dryness in the 2nd half of the year, somewhat because of the united state political election in November." That's one variable, but also, if I look at the total geopolitical photo, if I look at the macroeconomic photo, what our company saw in the final couple of full weeks in regards to dryness, which, in my perspective, is actually a crystal clear indication of the delicacy of some aspects of the device, u00e2 $ u00a6 one need to expect absolutely a much higher level of volatility," he said.Another uncertainty moving forward is monetary plan and whether central banks are going to need to cut costs a lot more boldy to cope with a downturn in the economic climate. In Switzerland, where UBS is actually headquartered, the central bank has reduced prices two times this year. The European Central Bank and also the Bank of England possess each declared one slice up until now." Recognizing the occasions which are actually theu00c2 unknowns at hand like the U.S. presidential election, our company became complacent along with an incredibly low dryness, currently our company are moving to a much more ordinary regimen," Bruno Verstraete, founder of Lakefield Wide range Administration told CNBC Wednesday." In the situation of UBS, [additional volatility is] certainly not necessarily a poor point, due to the fact that additional dryness suggests additional exchanging profit," he included.