Fed Governor Lael Brainard said on Monday that the Fed should delay its interest rate hike until it is clear that developments abroad do not have a negative effect on the recovery of the U.S. economy.

"I view the risks to the economic outlook as tilted to the downside. The downside risks make a strong case for continuing to carefully nurture the U.S. recovery - and argue against prematurely taking away the support that has been so critical to its vitality," she said.