Stock markets will remain volatile for the next few months despite their July rebound, according to UBS

The stock market could be volatile for the next few months as fresh batches of economic data lead to heightened uncertainty, according to a report.

In a recent research note, the asset manager's chief investment officer said that July's market rebound was unlikely to last.

He advised investors not to read too much into July's more positive picture. Markets may stay choppy due to far too much uncertainty.

The S&P 500 and MSCI World Index rallied 9.1% and 6.9% last month, with investors encouraged by Federal Reserve Chair Powell's comments that the US central bank will take a data driven approach to raising interest rates.

With the Fed getting a lot of new data before its next meeting, August and September could be more uncertain.

The markets will digest the data between now and the next Federal Open Market Committee meeting in September. We are neutral on the stock market.

One of banking's more bullish investing chiefs is usually viewed by Wall Street. He said that investors should be encouraged by the ongoing earnings season, which has seen stocks like Amazon and Microsoft rally.

Bullish signs for the stock market as the earnings season has been better than expected. The CIO of the bank tells you how to play the market.