The French president starts a Mideast tour Monday. Can he broker an end to another major crisis?
The group says suicide attacks may begin again in response to Thursday's Israeli airstrike on the home of Hamas leader Nizar Rayan.
The Islamist militants in Gaza may emerge as a symbol of defiance, much as Hezbollah did in its 2006 war with Israel.
An estimated 1.3 million people visited the West Bank this year, boosting the troubled economy.
But Israel also reopens border to allow humanitarian supplies into Palestinian territory.
Israelis and Palestinians both face heated political contests that are adding to the volatility between Israel and Hamas after a six-month cease-fire broke down last week.
On Hebrew language billboards and newspaper ads, the Palestinian Authority promotes an Arab peace initiative to skeptical Israelis.