An Israeli citizen has been seriously injured after two rockets fired from Gaza landed in Asdoud and Asqalan, Al Jazeera's correspondent reported.
An Israeli man injured by rocket fire near Erez border crossing with Gaza has died of his wounds, Al Jazeera's correspondent reported.
The Israeli army confirmed the death.
Hamas has claimed responsibility for launching the short-range rocket that killed an Israeli man, the first the first Israeli fatality in more than a week of violence.
The rocket struck an area along the border with Gaza.
In a speech just now, Israeli Prime Minister Benjamin Netanyahu said Hamas' rejection of a truce proposed by Egypt forces Israel to "broaden" the campaign in Gaza. "If there is no cease-fire, there is fire," he said. But he didn't provide specifics, and he implicitly criticized Foreign Minister Avigdor Lieberman's call to reoccupy Gaza, describing it as "background noise," suggesting that he's still not entirely keen on a large ground invasion.
Prime Minister Benjamin Netanyahu just fired Danny Danon, the deputy defence minister, a far-right member of his Likud party who has been a vocal critic of any cease-fire with Hamas.
Israeli President Shimon Peres said that the killing of civilians by air raids on Gaza presents a moral dilemma, but argued there is scant alternative as long as Hamas who rule the strip refuse to stop sustained rocket fire against Israel.
"There is a moral problem, but I don't have a moral answer to it,'' said Peres in an interview with the Associated Press news agency on Tuesday.
"If they are shooting at us, and don't let our mothers and their children ... have a full night's sleep, what can we do?''
Breaking | Two Palestinians have been killed and several others injured in an Israeli air strike on Rafah, south of Gaza, Al Jazeera's correspondent reported.
A number of rockets was just fired at Tel Aviv. The Israeli army says four of them were intercepted; several could be heard exploding above the city centre. No injuries or damage were reported.
Ashraf Al-Qedra, spokesperson of the Gaza health ministry, corrected the death toll to 208 killed & more than 1550 injured since start of Israel Protective Edge on Gaza, following an airstrike on Khan Younis. In the most recent airstrike, a 65 years old woman and a 10 years old were killed.
A Hamas official is to hold talks in Cairo on about Egyptian-led efforts to end the conflict between the Gaza-based Hamas movement and Israel, the Palestinians said.
The movement has already rejected a proposal that Egypt put forward this week aimed at bringing an end to the violence, complaining that it had been excluded from the discussions.
"A meeting will be held this afternoon between an official from Hamas and a representative of the Egyptian leadership," said Azzam al-Ahmad, a senior member of Palestinian president Mahmoud Abbas' Fatah movement.
Speaking at a meeting of the Arab League, Ahmad voiced hope that those at the gathering would "crystalise a definite formula for an Egyptian initiative" or clarify Cairo's plan, which proposed and end to hostilities from 0600 GMT on Tuesday.
Hamas has officially told Egypt that it rejects an Egyptian-proposed Gaza ceasefire, a spokesman for the group said.
"The outcome of discussions within the internal institutions of the movement was to reject the proposal and therefore, Hamas informed Egypt last night it apologises for not accepting it," spokesman Sami Abu Zuhri said.
Hamas's armed wing had already spurned the Egyptian plan on Tuesday, and Israel, which briefly halted its Gaza offensive, resumed attacks after cross-border rocket fire from the Palestinian territory persisted.
Four children have been killed and several injured at a beach in Gaza City, medics said, in Israeli shelling.
Emergency services Ashraf al-Qudra confirmed four children were killed and at least five others injured, some of whom sought refuge at a hotel used by journalists.
The first strike hit at around 1300 GMT, prompting children and adults on the beach to scatter, as others rushed out to see what had happened.
A second and third struck as they ran, setting fire to huts on the beach as terrified children shouted that there were dead and injured.
The strikes appeared to be the result of shelling by the Israeli navy against an area with small shacks used by fishermen.
Several children ran inside the hotel where AFP journalists saw at least three with shrapnel injuries.
They were evacuated by ambulances, which also picked up more injured people from the beach, including one man who was missing part of his leg.
The Israeli cabinet has just decided to call up 8,000 additional reservists, Al Jazeera's correspondent reported. This is in addition to the call up of 40.000 reservists from last week.
Palestinian President Mahmoud Abbas met Hamas political official Moussa Abu Marzouk on Wednesday in Cairo to discuss an Egyptian initiative that has so far failed to halt more than a week of warfare in Gaza, Egypt's state news agency MENA said.
The talks were the first concrete sign that efforts to reach a ceasefire between Israel and Palestinian fighters were still active despite the collapse a day earlier of a proposed mutual "de-escalation" of violence.
The Israeli army admitted today that "about half" of the 200+ people killed in Gaza so far "were not involved in terrorism—civilians, in other words. The United Nations places the figure much higher, close to 80 percent.
Israel said would temporarily halt fire in the Gaza Strip on Thursday for a five-hour period, citing humanitarian reasons.
The military said after contacts with U.N. officials Israel has decided that "between 1000 (0700 GMT) and 1500 (1200 GMT) the Israeli military will cease operational activity with the Gaza Strip and hold its fire".