The price of oil is rising after Israel launched airstrikes in Gaza, killing a Hamas military commander.

Benchmark oil rose 64 cents to $86.02 a barrel this morning in New York.

Israel says it's beginning a broad military operation in response to days of heavy rocket fire from militants in the neighboring Palestinian territory.

That's creating fresh concerns about oil supply disruptions in the Middle East.

Traders also are waiting to see if President Barack Obama and Congress will reach a compromise to avoid a series of expiring tax cuts and broad spending cuts scheduled to take effect in January.