Dozens
of gunmen from the Palestinian militant group Hamas have infiltrated
southern Israel from the Gaza Strip in a surprise attack.
Videos
being shared on social media appeared to show Palestinian militants
shooting at passers-by in the streets of the Israeli town of Sderot.
Intense Palestinian rocket fire from Gaza also killed one Israeli woman.
Israel's defence minister said Hamas had "made a grave mistake and launched a war" against his country.
"[Israeli] troops are fighting the enemy at every location," Yoav Gallant added. "The State of Israel will win this war".
The
Israel Defense Forces (IDF) said it had moved to a war footing and that
dozens of fighter jets were carrying out air strikes on Hamas sites in
Gaza.
The
rocket barrages from Gaza - which is governed by Hamas - began just
after dawn on Saturday, at the end of the Jewish holiday of Sukkot.
As
sirens sounded across Israel, the IDF announced that "terrorists" had
infiltrated Israeli territory "in a number of different locations".
It told civilians in southern and central areas to stay next to shelters, and inside shelters in the area surrounding Gaza.
Footage
posted online appeared to show a group of heavily armed Palestinian
militants dressed in black fatigues driving around Sderot in a pick-up
truck.
In
one video, the same militants seemed to be exchanging fire with Israeli
forces on the streets of the town, which is only 1.6km (1 mile) from
Gaza
There
are also unconfirmed reports in the Palestinian media that a number of
Israelis have been taken captive by militants and footage circulating of
Palestinians in Gaza driving Israeli military vehicles.
The
rocket barrages meanwhile continued throughout Saturday morning, with
Israeli media reporting that more than 2,200 projectiles had so far been
launched towards Israel.
An
initial report from Israel's Magen David Adom ambulance service said
one person had been killed in the rocket attacks and 16 others wounded,
two of them seriously.
But
a hospital in the southern city of Ashkelon later said it was treating
68 casualties alone, while another hospital in Beer Sheva reported 80
others.
A
senior Hamas military commander announced the start of the operation in
a broadcast on Hamas media, calling on Palestinians everywhere to
fight.
"This is the day of the greatest battle to end the last occupation on earth," Mohammed Deif said.
Palestinians gathered near an Israeli tank that was set alight on the Israel-Gaza perimeter fence
