Some on Wall Street are hoping that a Federal Reserve rate cut in September will spur a market rally. Insigneo chief investment officer Ahmed Riesgo doesn't think that will be the case.

Riesgo says his firm currently has an underweight status on US equities, with the market already seeing its highs for the year. Why? "We continue to see concerns in the labor market, specifically the US labor market. We see the job vacancy rate is flashing warning signs... there's a slew of indicators of labor demand that are pointing in the wrong direction," Riesgo tells Yahoo Finance.

Riesgo does expect the US economy to tip into a recession, though he doesn't think it will be a severe recession. He also thinks that around the time the Fed starts cutting rates, there could be another sell-off.

Watch the video above to find out how Riesgo is advising clients to invest given his recession call.

For more expert insight and the latest market action, click here to watch this full episode of Market Domination.

This post was written by Stephanie Mikulich.