Israel’s army says its forces are in “full control of communities” in its southern territory near the Gaza fence.
Israel says it struck more than 500 targets in the Gaza Strip, while fierce battles with Hamas fighters continue in several areas in southern Israel.
The intense bombardment has so far displaced more than 120,000 people in the besieged Palestinian enclave.
The Israeli army 100,000 reserve troops have amassed near Gaza, where Palestinian fighters say they are holding 130 people captive.
The latest death toll stands at 493 Palestinians, according to health officials, and more than 700 Israelis, according to media reports.
Hamas’s surprise attack came after Israeli settlers stormed the Al-Aqsa Mosque compound in recent days and a record number of Palestinians were killed by Israel in recent months.