A tense quiet took hold on Tuesday morning after a night of heavy fire as Israeli aircraft bombed targets across the Gaza Strip.
Shocked residents were seen checking damage caused by the attacks that targeted positions of Palestinian group Hamas and farmlands across the strip. Locals said schools and government institutions in the strip have been closed for the day.
The targets included a multistory building in Gaza City that Israel said had served as a Hamas military intelligence headquarters and the office of Hamas leader Ismail Haniyeh.
Gaza's Health Ministry said seven Palestinians were wounded in the airstrikes.
Hamas announced late Monday that Egypt had managed to secure a cease-fire between Israel and Gaza-based resistance factions. Neither Israel nor Egypt has officially confirmed the reported deal.
The situation escalated on Monday when a rocket emanating from Gaza struck a home north of Tel Aviv, injuring seven.
Israeli Prime Minister Benjamin Netanyahu warned Tuesday that he was ready to order further action in the Gaza Strip.
"I can tell you we are prepared to do a lot more. We will do what is necessary to defend our people and to defend our state," Netanyahu told the U.S. pro-Israel lobby AIPAC by video link after cutting short a trip to Washington to handle the flare-up.
The Israeli army has reportedly deployed missile-defense batteries in several locations across the country while sending two additional infantry brigades to the Gaza-Israel buffer zone.
No Palestinian group has claimed responsibility for the rocket fire.
Since 2007, the Gaza Strip has been under a crippling Israeli and Egyptian blockade that has gutted its economy and deprived its roughly 2 million inhabitants of many vital commodities, including food, fuel and medicine. In the long-embargoed enclave, the humanitarian situation has gotten worse with each passing day.