Throughout the night, wave after wave of alarms sounded in the Hof Ashkelon, Sha'ar Hanegev and Eshkol regions, outside Gaza, sending thousands of Israelis into bomb shelters, where many bedded down for the night with their families.
A Palestinian was killed in northern Gaza, while at least six were wounded in raids aimed targeting sites across the strip, the Gazan health ministry said.
Air strikes by Israel's military on the Gaza border have killed three people including a pregnant woman and her toddler, the Gaza Health Ministry says.
Israel's military later confirmed it struck Gaza, saying it hit 12 Hamas sites in all, including "an offensive maritime terror tunnel. several terror sites in military compounds throughout the Gaza Strip. rocket manufacturing facilities and a central logistical military complex".
Smoke plumes rising following an Israeli air strike on Gaza City, on August 8, 2018.
"Hamas hit the "enemy" with a large number of rockets", it said.
The strikes came after two fighters from the military wing of Hamas, which rules Gaza, were killed by Israeli fire on Tuesday.
In a written statement, the Ezzeddin Qassam Brigades, the military wing of Hamas, claimed responsibility for the attacks.
In response, a tank targeted a Hamas position, since Israel holds the organization responsible for all violence coming from Gaza.More news: Kim & Khloé Kardashian Tear Shreds Off Kourtney's Ex Younes On Social Media
More than 100 rockets have been fired into Israel since yesterday from the Gaza strip.
The Israel Defense Forces (IDF) said the violence broke out after militants shot at an IDF vehicle in Gaza on Wednesday.
Israeli television broadcast images of a house and cars reportedly damaged by the rockets in Sderot.
A senior member of Hamas, the Palestinian Islamist group that controls Gaza, said talks mediated by the United Nations and Egypt on a deal to tamp down tensions were in "advanced stages". He said, "Hamas is moving away from an arrangement to calm things down and is moving near to a war in which it would be hit hard".
An Israeli minister said his government has rejected an European Union plan to link the Gaza Strip with the West Bank, according to Israeli media on Wednesday.
In retaliation, Israeli jet fighters attacked more than 140 strategic targets in the Gaza strip where the Palestinian authorities reported that three people were killed.
Over the past four months, 158 Palestinians have been killed by Israeli fire, including at least 120 in the protests near the fence and others in Israeli air strikes and other incidents elsewhere in Gaza, according to the Gaza Health Ministry and a local rights group.
One Israeli soldier has been shot dead by a Palestinian sniper.