An area of Gaza City has come under heavy tank fire as Israel widened its ground offensive against Hamas, causing hundreds of panicked residents to flee.
Palestinian health officials said at least eight people were killed in Gaza City's Shijaiyah neighbourhood before dawn today, including the son, daughter-in-law and two small grandchildren of a senior Hamas leader.
After daybreak, dozens of injured from Shijaiyah were rushed to Gaza City's central Shifa Hospital. Frantic parents carried children wounded by shrapnel and the emergency department quickly overflowed, forcing doctors to treat some patients on mattresses in a hallway.
Throughout the night, loud explosions shook Gaza as Israeli flares lit up the night sky and fighter jets flew low over the densely populated territory.
The Hamas military wing said its fighters exchanged fire with Israeli forces in Shijaiyah and a nearby neighbourhood. The sound of gunfire could be heard from the centre of the city.
The heavy fighting came as UN chief Ban Ki-moon headed to Qatar to try to push stalled ceasefire efforts forward.
Hamas last week rejected an Egyptian call on both sides to halt hostilities, saying it first wants guarantees that Israel and Egypt will significantly ease their border blockade of Gaza.
Hamas has sought involvement of other countries, such as Qatar, in any ceasefire negotiations, saying Egypt cannot be the sole mediator. The Islamic militant group is deeply distrustful of Egypt's rulers, who last year deposed a Hamas-friendly government in Cairo.
Since the start of Israel-Hamas fighting almost two weeks ago, 348 Palestinians have been killed and 2,700 wounded, according to Gaza health ministry official Ashraf al-Kidra. One fourth of the deaths have been reported since the start of the ground offensive on Thursday.
Two Israeli soldiers died in the Gaza fighting late yesterday and early this morning, bringing the Israeli military death toll to five in the three days since ground operations began. Two Israeli civilians have also been killed by Hamas rocket and mortar attacks on Israeli territory.
In Shijaiyah, the heavy shelling began at around midnight as tanks reached the edge of the neighbourhood, residents said.
"There are dead and wounded in the streets, and no-one can help them," said Ahmed Rabia, 52, one of those who had fled and reached central Gaza City, because it is too dangerous for ambulances to approach.
Some residents tried to find refuge with relatives, while others went to UN schools that have been serving as temporary shelters since the start of Israel-Hamas fighting. Tens of thousands are currently being housed in the schools.