Oil prices fell amid fears of a rate hike

On Thursday, oil prices decreased by about $1 per barrel. Fears of demand decrease due to Fed's interest rate hike and growing COVID-19 epidemic in China outweighed the impact of U.S. crude oil reserves reduction due to the winter storm.

U.S. economic data showed that last week's increase in the number of new jobless claims was lower than expected. Also, the data showed that in the third quarter GDP grew more than it was expected before. Oil lost its initial gain after the information was released.

The good data affected sentiment. Fears of a possible rate hike by the Fed intensified. This could slow the economy and reduce fuel consumption.

Nearly 2,000 U.S. flights were scheduled for Thursday and Friday. Airlines canceled them, disrupting plans for thousands of trips and serving as a bearish signal for fuel demand.