Oil prices finally appear to be on the up again following the announcement that President Barack Obama's US$800 billion stimulus package has been approved.

While prices are still a long way off from last July's US$147 a barrel peak, this week they crept closer to the US$41 a barrel mark with US crude oil at US$40.92 a barrel. It's certainly a very encouraging sign for the economies of the Middle East. But will it discourage OPEC from further cutting oil production levels in a bid to raise prices? The cartel's Secretary General Abdulla Al Badri reiterated the group's intention to further cut oil production at a meeting in Vienna this week. Should OPEC wait for further rises in oil prices resulting from the US and European government stimulus packages? Or should it continue to drive down production forcing prices up?