Zacks Investment Ideas feature highlights: Lennar and Wayfair

The Federal Reserve is expected to raise interest rates by 25 basis points on Wednesday for the first time since July 2023, with a 93% probability priced in by futures markets. This decision, combined with August retail sales data and Thursday's housing starts/permits report, creates significant market volatility. An unprecedented scenario could unfold if Chair Kevin Warsh opposes the hike while the committee votes to raise rates—the first time in Fed history a sitting chair could be outvoted on monetary policy. Homebuilder Lennar and online retailer Wayfair are key stocks to watch as they face headwinds from rising borrowing costs.