High commodity prices have an impact on general price inflation in the United States but there are also price pressures from imported goods, particularly from China, Dallas Federal Reserve Bank President Richard Fisher told CNBC Tuesday.
The recovery is gathering momentum despite the shocks caused by the Japan disaster, said Fisher, who expects economic growth in the United States to be 3.5 percent this year while unemployment might fall towards 8 percent by the end of the year.
"We are all mindful of this phenomenon (of inflation), speaking personally I am concerned," Fisher told CNBC in an interview on the sidelines of a financial seminar in Frankfurt.
The recovery is now "sustainable and self-propelling" and there is no more need for quantitative easing, he added.
"Barring some extraordinary circumstances I cannot foresee, I would vote against the QE3 or even a tapering of the current program. I don't think it's necessary," Fisher said.
"It's now up to the fiscal authorities to provide the right incentives for businesses to hire more American people," he added.
The central bank has done enough to pour liquidity in the markets and there are now the means to propel the economy forward, according to Fisher.
"Our job is done. Now the pressure and the job is in the hands of our elected representatives who have the only power to tax and to spend," he said.
Fisher said he was not "excessively" worried about big swings in the dollar's exchange rate, as "these are manic-depressive markets."
"What I care about is preserving the purchasing power of the dollar , that's my job as a central banker," he said.
Asked about Pimco's move to sell its holdings of US Treasurys, Fisher said: "Someone's buying that paper. I don't think I should comment on any single market operator, sometimes they're right, sometimes they're wrong."
- Reported by Annette Weisbach, CNBC Reporter in Frankfurt