.Sergio Ermotti, ceo of UBS GroupStefan Wermuth|Bloomberg|Getty ImagesZURICH, Switzerland u00ea u00b7 UBS CEO Sergio Ermotti mentioned Wednesday that market dryness could possibly increase in the 2nd half of the year, but he performs not believe the USA is actually moving into a recession.Global equities found sharp auctions recently as investors digested unstable economic data out of the united state which raised worries regarding a financial downturn around the world's biggest economic climate. It additionally raised questions concerning whether the Federal Get needed to be less hawkish with its own monetary policy standpoint. The central bank kept fees on hold in late July at a 23-year high.When inquired about the expectation for the united state economy, Ermotti stated: "Certainly not always a financial crisis, but definitely a downturn is feasible."" The macroeconomic indicators are not clear enough to discuss financial crises, and in fact, it's most likely early. What we understand is that the Fed possesses sufficient ability to step in and also support that, although it is actually going to take some time, whatever they perform to become then transferred in to the economy," the chief executive officer said to CNBC on Wednesday after the banking company stated its second-quarter results.UBS expects that the Federal Book are going to cut costs by at the very least fifty basis points this year. Currently, investors are divided in between a fifty as well as a 25 manner point cut at the Fed's upcoming meeting in September, according to LSEG data.Speaking to CNBC, Ermotti claimed that our experts are very likely to find greater market dryness in the 2nd half of the year, partially as a result of the USA vote-casting in Nov." That's one element, yet also, if I look at the total geopolitical photo, if I examine the macroeconomic image, what we viewed in the final number of weeks in terms of dryness, which, in my perspective, is a crystal clear indicator of the delicacy of some elements of the device, u00e2 $ u00a6 one need to expect certainly a much higher degree of dryness," he said.Another anxiety moving forward is monetary plan and also whether reserve banks will definitely need to reduce rates more strongly to deal with a lag in the economy. In Switzerland, where UBS is actually headquartered, the central bank has cut rates twice this year. The European Reserve Bank and also the Banking Company of England possess both introduced one slice up until now." Recognizing the events which are actually theu00c2 unknowns at hand like the united state governmental vote-casting, our company became contented along with an incredibly reduced dryness, currently we are switching to an extra ordinary regimen," Bruno Verstraete, founder of Lakefield Wide range Administration told CNBC Wednesday." In the situation of UBS, [even more volatility is] certainly not necessarily a negative point, considering that additional dryness means even more exchanging profit," he incorporated.