What once seemed a near-certain Federal Reserve rate cut in December now looks uncertain, with officials divided over whether inflation or weak hiring poses a greater threat.

Some policymakers, like Boston Fed President Susan Collins, favor keeping rates steady to curb persistent price increases, while others, such as Fed Governor Christopher Waller, emphasize sluggish hiring and support a cut.

The Fed faces heightened uncertainty due to interrupted economic data from the government shutdown, with September jobs and inflation reports only now being released, the AP has reported.

Wall Street currently sees a 50-50 chance of a rate cut, reflecting the split among the 19-member rate-setting committee.