UBS Group CEO Sergio Ermotti has expressed concerns about the US banking sector being overcapacity, which could have implications for the industry's future.

In an interview with Bloomberg, Ermotti discussed the banking landscape and the global economy, suggesting that the US is likely to outperform the European Union.

Ermotti's comments shed light on the competitive dynamics between the US and EU markets, indicating that while the US banking sector has its own challenges, it is more resilient and better positioned for growth compared to its European counterparts.