.Sergio Ermotti, chief executive officer of UBS GroupStefan Wermuth|Bloomberg|Getty ImagesZURICH, Switzerland Double A u00b7 UBS CEO Sergio Ermotti mentioned Wednesday that market dryness can increase in the second one-half of the year, but he carries out certainly not believe the USA is heading right into a recession.Global equities found stinging auctions last week as real estate investors digested unstable economic records away from the united state which increased concerns about an economic decline in the world's most extensive economic climate. It also questioned concerning whether the Federal Book required to be less hawkish along with its financial plan posture. The central bank always kept prices on grip in late July at a 23-year high.When inquired about the expectation for the united state economic condition, Ermotti mentioned: "Certainly not automatically a financial crisis, but most definitely a downturn is feasible."" The macroeconomic indications are unclear sufficient to refer to economic downturns, and actually, it is actually most likely untimely. What we understand is actually that the Fed has good enough capacity to come in as well as support that, although it is actually heading to take time, whatever they do to be then transmitted in to the economy," the chief executive officer told CNBC on Wednesday after the bank disclosed its own second-quarter results.UBS expects that the Federal Get will certainly cut prices through at the very least fifty manner factors this year. At the moment, traders are actually divided between a fifty and a 25 manner aspect cut at the Fed's upcoming meeting in September, according to LSEG data.Speaking to CNBC, Ermotti said that our company are actually likely to view higher market dryness in the second half of the year, somewhat as a result of the united state election in November." That's one aspect, but likewise, if I examine the overall geopolitical image, if I look at the macroeconomic image, what our experts found in the last couple of weeks in terms of volatility, which, in my point of view, is actually a very clear indicator of the frailty of some elements of the body, u00e2 $ u00a6 one should count on absolutely a greater degree of volatility," he said.Another uncertainty going ahead is actually monetary policy and whether central banks will certainly have to reduce costs even more strongly to cope with a stagnation in the economic condition. In Switzerland, where UBS is actually headquartered, the central bank has reduced fees two times this year. The European Reserve Bank and the Banking Company of England possess each introduced one cut until now." Knowing the occasions which are actually theu00c2 unknowns imminent like the united state governmental political election, our experts ended up being obsequious along with a quite reduced volatility, currently our team are actually changing to a more usual regimen," Bruno Verstraete, founder of Lakefield Wealth Administration told CNBC Wednesday." In the circumstance of UBS, [additional volatility is actually] not always a bad point, due to the fact that even more volatility indicates more exchanging revenue," he added.