Is this the start of a return to $4 gas?

Gasoline prices have not only stopped falling, but are beginning to slowly inch upwards.

Regular unleaded gasoline rose 0.6 cents today, to an average of $1.667 across the nation, according to the American Automobile Association (AAA).

Gas prices had fallen for 86 consecutive days before rising in back to back days over the weekend. It has now gained more than a cent since AAA’s Friday report of $1.656.

The current price is still more than $2.40 off its high of $4.11 reached in July. The price has dropped due to a decrease in demand caused by the economic slowdown and the high prices seen in the summer.

The Department of Transportation released a report which revealed that Americans driving habits had changed. There were 100 billion fewer miles driven November 2007 and October 2008 compared to a year earlier.

The only two states that are currently selling gas at an average above $2 a gallon, are Alaska ($2.646) and Hawaii ($2.415).

OPEC, the oil cartel which produces 40 percent of the world’s crude, announced today another production cut of more than 2 million barrels per day in order to stem the recent drop in prices.

The oil cartel’s recent cut may have a long term effect on gas prices being that the recent drop in oil and gasoline is mostly due to the economic slowdown. Once the economy recovers –or even shows signs of recovering– consumers may witness the high prices seen earlier this year reappear.