Fed Vice Chairman Stanley Fischer said in an interview Monday on Bloomberg Television on Monday that inflation in the U.S. is very low, but is temporary. Fischer pointed out that inflation was low due to declines in oil prices and in raw materials.

The Fed vice chairman noted that the Fed's quantitative led to the improvement in the U.S. labour market.

Fischer also said that the Fed monitors economic developments abroad.

"Of course, what happens abroad affects us. If the rest of the works is slower, that's not good for the U.S. economy," he said.