Despite criticism from the Trump administration regarding interest rate increases, the Federal Reserve seems committed to keeping the economy growing at a steady pace through gradual rate hikes.

Speaking at the organization's annual retreat in Jackson Hole, Wyoming, Chairman Jerome Powell explained the rationale behind raising the federal interest rate at least once more this year, Bloomberg reports. Wage growth and strong employment mean the Fed must act to stave off inflation.

“There is good reason to expect that this strong performance will continue,” Powell said at the retreat, according to Bloomberg. “I believe that this gradual process of normalization remains appropriate.”

Reports from the International Monetary Fund support Powell's assessment, predicting that international economic output will grow both this year and next at a rate not seen since the first years after the Great Recession, the Wall Street Journal reports.

Commercial real estate experts agree that rising interest rates have not had a major impact on investment, though investors are cautiously monitoring how bumps in short-term rates are impacting the 10-year Treasury and cap rates as a result.