Dozens of gunmen from the Islamist militant group Hamas appear to have entered southern Israel in a surprise attack and are currently at large.
Israel’s military says it is striking targets in the Gaza Strip amid a “situational assessment“.
Earlier, dozens of rockets were launched toward Israel, setting off air raid sirens across the country.
One person has been killed and there have been reports of explosions near Tel Aviv and areas surrounding Gaza.
Palestinian militant group Hamas has claimed responsibility for the attack, with its armed wing saying it launched 5,000 rockets in 20 minutes.
Israel’s Defense Forces (IDF) said the group “had begun a massive shooting of rockets from the Gaza Strip into Israeli territory” and that militants had entered Israeli territory in “different locations“.
The statement said the chief of the general staff was conducting a “situational assessment” and that Hamas would “face the consequences and responsibility for these events”.
It added that residents in the area surrounding the Gaza Strip had been asked to stay inside, while civilians in southern and central areas are “required to stay next to shelters”.
Israel’s Magen David Adom rescue agency said one person had died with 15 others injured.
Footage from Reuters news agency shows Israeli firefighters tackling flames in the city of Ashkelon, as thick plumes of smoke rose from charred-out vehicles.
The office of Israeli Prime Minister Benjamin Netanyahu said security chiefs are due to meet as a result of the rocket strikes.
Videos posted on social media showed what appeared to be uniformed Palestinian gunmen inside the Israeli border town of Sderot.
A video from Gaza showed what looked like the lifeless body of an Israeli soldier being trampled by an angry crowd shouting “God is Great.”
Another video showed Palestinian militants dragging away a live Israeli soldier on a motorcycle.
Other videos showed a crowd of Palestinian men dancing around atop an Israeli tank on fire.
The authenticity of the videos could not immediately be verified.
The elusive leader of Hamas’ military wing, Mohammed Deif, announced the beginning of what he called “Operation Al-Aqsa Storm.”
“Enough is enough,” he said in the recorded message, as he called on Palestinians to join the fight.
He said Hamas had fired over 5,000 rockets into Israel.
By Agencies
