.Sergio Ermotti, president of UBS GroupStefan Wermuth|Bloomberg|Getty ImagesZURICH, Switzerland u00ea u00b7 UBS chief executive officer Sergio Ermotti pointed out Wednesday that market volatility could boost in the 2nd one-half of the year, however he does certainly not believe the united state is actually moving in to a recession.Global equities observed sharp sell-offs last week as clients digested weak economical data away from the U.S. which reared worries regarding an economic recession around the world's largest economic climate. It additionally raised questions regarding whether the Federal Book needed to have to be less hawkish with its financial plan viewpoint. The central bank kept fees on grip in late July at a 23-year high.When inquired about the overview for the U.S. economic condition, Ermotti pointed out: "Certainly not automatically an economic slump, however most definitely a decline is achievable."" The macroeconomic signs are actually unclear sufficient to speak about economic crises, and in fact, it is actually possibly early. What we know is that the Fed possesses good enough capability to intervene as well as assistance that, although it's visiting take a while, whatever they carry out to be after that sent in to the economic climate," the CEO told CNBC on Wednesday after the bank reported its own second-quarter results.UBS expects that the Federal Reserve are going to reduce prices by at the very least 50 basis points this year. Right now, traders are split in between a 50 and a 25 manner point cut at the Fed's next conference in September, according to LSEG data.Speaking to CNBC, Ermotti said that our company are very likely to observe higher market dryness in the second fifty percent of the year, partly because of the USA vote-casting in November." That is actually one element, yet additionally, if I check out the total geopolitical picture, if I check out the macroeconomic image, what our company found in the last number of full weeks in relations to volatility, which, in my perspective, is actually a clear indicator of the delicacy of some factors of the unit, u00e2 $ u00a6 one ought to anticipate certainly a greater level of volatility," he said.Another anxiety going ahead is monetary plan and whether central banks will certainly have to cut fees extra strongly to battle a decline in the economic condition. In Switzerland, where UBS is headquartered, the central bank has cut fees twice this year. The European Reserve Bank as well as the Banking Company of England possess each revealed one slice until now." Recognizing the occasions which are actually theu00c2 unknowns coming up like the united state presidential election, our company became contented along with an extremely low volatility, now we are actually moving to a more normal regimen," Bruno Verstraete, owner of Lakefield Wealth Administration told CNBC Wednesday." In the circumstance of UBS, [more dryness is] not always a negative thing, because even more volatility indicates additional trading earnings," he incorporated.