Federal Reserve Vice Chairman Stanley Fischer said on Tuesday that the U.S. consumer demand rebounds and economic growth is improving. But he did not mentioned the timing of interest rate hikes.

Fischer noted that the Fed's monetary policy will depend on the incoming economic data. He pointed out that inflation and employment data will determine the pace of interest rate hikes.

Fed vice chairman expects the U.S. economy to grow at an annual rate of about 2.5% in the second quarter.

The Fed is working to minimize the likelihood of surprises that could result after the release of the Fed's monetary policy, he said.