After a brief selloff yesterday, oil prices have been moving higher in today's action. Buyers have come back into the market today and pushed prices up as high as $95.00 earlier in the session, Prices nd are now up $1.20 to $94.69.

The main reason why prices have turned higher today is optimism about the economy created by this morning's better than expected October payroll report. According to the U.S. Labor Department, October saw a 166,000 increase in payrolls, which was more than twice the 80,000 increase that analysts expected.

The better-than-expected payroll report was enough to create some optimism of the overall economy, and put some recession fears to rest. According to Michael Lynch, who is president of Strategic Energy and Economic Research Inc., "It suggests that concerns about the economy ... are overblown a little bit."

In addition to this morning's payroll report, prices are also getting a boost from geopolitical news such as America pushing for even tougher U.N. sanctions against Iran. Also, Secretary of State Condoleezza Rice told Turkey that America considers the Kurdish rebels in northern Iraq to be a "common threat," which the U.S. would help fight. This has only added to concerns that violence is going to be increasing in the area, with the potential for disrupting supplies.

As if the above reasons weren't enough to push prices higher, the market is also dealing with possible supply disruptions from Hurricane Noel, a falling U.S. dollar, and cold weather moving in across the Northeast which will increase demand in that region for heating oil.

Is $100 oil on the way? I think so, and stand behind my opinion that it will be here by the middle of the month.

Michael Fowlkes has worked as a stock trader for seven years and spent the last two years working as an analyst for the online investment advisory service Investor's Observer.