Here are 3 ways the Fed messed up since 2021 and how it's impacting the economy, according to UBS

• The Federal Reserve has made three big mistakes since inflation took off in 2021, according to UBS.
• The Fed's policy errors have led to a loss of credibility with investors and will impact the broader economy, the bank said. 
• "Today's rate hike will probably have to be reversed in a relatively short space of time," UBS said.

The Federal Reserve has done a lousy job navigating the surge in inflation over the past two years, according to UBS Global Wealth Management's chief economist, Paul Donovan.

In a note to clients on Wednesday, Donovan said that the Fed has made three big mistakes since inflation broke out and it began hiking interest rates, and those mistakes will have an impact on the broader economy.