European shares, euro fall on uncertainty over Greek bailout

LONDON (Reuters) - European shares and the euro fell on Wednesday after Greece's international lenders failed to reached a deal to reduce the country's debt and release the next payment from its bailout.

The euro was down 0.5 percent at $1.2752, while the region's blue chip Euro STOXX 50 index <.stoxx50e> ended two days of gains built on expectations of a Greek deal to fall 0.3 percent to 2,501.25 points <.eu/>

Euro zone finance ministers, the International Monetary Fund and the European Central Bank will gather again on Monday after nearly 12 hours of talks through the night failed to reach a consensus on how to bring Greece's debt down.

"Markets had believed the ministers would agree on aid for Greece at (the) meeting," said Yuji Saito, director of foreign exchange at Credit Agricole in Tokyo.

"Instead, a settlement is postponed, highlighting the difficulty of getting consensus on the debt crisis. But I feel this is a typical European political show and an agreement will be reached."

The euro's decline and a weaker Japanese yen lifted the dollar by 0.3 percent against a basket of key currencies <.dxy> and weighed on commodities such as gold, which fell 0.25 percent to $1,723.40 an ounce.

The delay boosted demand for safe haven German government bonds, boding well for an auction of new 10-year debt later in the day and sending the main Bund futures contract up 23 ticks to 141.61.

Gains in world equity markets had already stalled before the Greek delay after a warning by Federal Reserve Chairman Ben Bernanke on Tuesday that the central bank lacked the tools to cushion the impact of a potential U.S. fiscal crisis.

U.S. stock futures were 0.25 percent lower in European trade, pointing to a weak Wall Street open for its last session before the Thanksgiving Day holiday.

Asian shares had initially fallen in reaction to the Greek news but recovered to close with small gains due to a rise in mainland Chinese markets and in Tokyo.

MSCI's broadest index of Asia-Pacific shares outside Japan <.miapj0000pus> gained 0.3 percent, while Japan's Nikkei stock average <.n225> closed up 0.9 percent at a two month-high.

The Nikkei's gains came as shares in exporters rose after the yen hit a seven-month low against the dollar on expectations that a new government will aggressively push the Bank of Japan to expand monetary stimulus.

The yen hit a low of 82.12 to the dollar its weakest level since early April.

(Reporting by Richard Hubbard; Editing by Anna Willard)

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Clinton to Visit Israel in Effort to Defuse Gaza Conflict

PHNOM PENH, Cambodia — President Obama sent Secretary of State Hillary Rodham Clinton to the Middle East on Tuesday to try to defuse the conflict in Gaza, the White House announced.

Jason Reed/Reuters

Secretary of State Hillary Rodham Clinton and President Obama in Phnom Penh on Monday.

Mrs. Clinton, who accompanied Mr. Obama on his three-country Asia trip, left on her own plane immediately for the region, where she will stop first in Jerusalem to meet with Prime Minister Benjamin Netanyahu of Israel, then head to the West Bank to meet with Palestinian leaders and finally to Cairo to consult with Egyptian officials.

The decision to dispatch Mrs. Clinton dramatically deepens the American involvement in the crisis. Mr. Obama, on an Asian tour, made a number of late-night phone calls to the Middle East on Monday night that contributed to his conclusion that he had to become more engaged and that Mrs. Clinton might be able to accomplish something.

With the United Nations Secretary General Ban Ki-moon also scheduled to arrive in Israel on Tuesday, a senior official in the prime minister’s office said Israel decided to give more time to diplomacy before launching a ground invasion into Gaza.

“A decision has been taken to give diplomacy more time, but not unlimited time,” the official said, speaking on condition of anonymity because the deliberations of the inner cabinet are highly confidential. The decision came as the conflict entered its seventh day with casualties mounting.

The Health Ministry in Gaza said the death toll had climbed by late Tuesday morning to 112, roughly half of them civilians and including children. Three Israelis died in a rocket attack last week.After an Asian summit dinner in Phnom Penh on Monday night, Mr. Obama called President Mohamed Morsi of Egypt to discuss the situation, then spoke with Mr. Netanyahu and called Mr. Morsi back. He was up until 2:30 a.m. on the phone, the White House said. He consulted with Mrs. Clinton repeatedly on the sidelines of the Asian summit meetings on Tuesday.

“This morning, Secretary Clinton and the president spoke again about the situation in Gaza and the they agreed that it makes sense for the secretary to travel to the region so Secretary Clinton will depart today,” said Benjamin Rhodes, a deputy national security adviser to Mr. Obama. “Her visits will build on the engagement that we’ve undertaken in the last several days.”

Mr. Rhodes said that “any resolution to this has to include an end to that rocket fire” by Hamas militants on Israeli communities but “the best way to solve this is through diplomacy.”

He added: “It’s in nobody’s interest to see an escalation of the military conflict.”

Mrs. Clinton will not meet with Hamas representatives on her trip, but with leaders of the Palestinian leadership in the West Bank, which is at odds with the Hamas rulers of the Gaza Strip. “We do not engage directly with Hamas,” Mr. Rhodes said.

Instead, Mr. Obama is focused on leveraging Egypt’s influence with Hamas to press for a halt to the rocket attacks. “We believe Egypt can and should be a partner in achieving that outcome,” Mr. Rhodes said.

Mr. Rhodes reaffirmed that the United States supports Israel’s right to defend itself and said Mr. Obama did not ask Mr. Netanyahu to hold off a ground incursion into Gaza.

In Jerusalem, the official in the Israeli prime minister’s office said that the country’s top nine ministers, who make up the inner security cabinet, held discussions late into the night on the state of the diplomatic efforts and Israel’s military operation in Gaza. The goal of the operation, Israel says, is to end years of rocket fire by Gaza militants against southern Israel.

Egypt has been brokering efforts, with American involvement, for a cease-fire. “What is on the table is not there yet. It does not bring about what we need,” the official said, referring to Israel’s demands for an end to the threat of rocket fire.

Tens of thousands of Israeli reserve soldiers have been mobilized and troops and tanks have massed along the border with Gaza, ready to go in the order is given for a move into densely-populated coastal enclave that would significantly escalate the conflict.

So far Israel has carried out its campaign from the air, pounding more than 1,000 targets in Gaza, including long-range rocket launchers and stores. Gaza militants have fired more than 800 rockets at Israel and several have reached as far north as Tel Aviv.

Many of the rockets headed for densely populated areas have been intercepted by Israel’s anti-rocket missile system while others have landed in open ground.

Peter Baker reported from Phnom Penh, Cambodia, and Isabel Kershner from Jerusalem. Jodi Rudoren contributed reporting from Gaza City.

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Dancing with the Stars: Couples Perform Crazy Combinations in Semi-Finals

TV Watch

Dancing With the Stars

By Aaron Parsley

11/19/2012 at 11:05 PM EST

Shawn Johnson and Derek Hough

Craig Sjodin/ABC

It's the semi-finals!

The remaining five couples on Dancing with the Stars faced two rounds of competition on Monday. First, the pairs performed mixed-up routines, blending uncommon styles with unusual themes. Then, they celebrated the 25th anniversary of Michael Jackson's hit album Bad with more traditional ballroom numbers.

Keep reading for all the details and scores ...

Melissa Rycroft & Tony Dovolani
Last week's top scorers kicked off the night with a caveman hustle. "Fred and Wilma have never danced so well," Len Goodman said, while Bruno Tonioli said they lost footing during the turns. They scored a 27.5. But their red-hot Argentine tango to "Dirty Diana" was a perfect 30. "That was beyond anything I could have imagined for you," a thrilled Carrie Ann Inaba said. "I would be really disappointed if you're not here next week," Len added.

Shawn Johnson & Derek Hough
Hough said he would rather put mustard on ice cream than combine their Knight Rider theme with the Bhangra style. But the judges ate up the routine – and awarded the pair a perfect 30. In round two, their Argentine tango sparked disagreement on the panel. Bruno and Len held up 10s but Carrie Ann knocked off a point. "Every line was perfect, but dance is sometimes more than just movement and I thought that you lacked the real passion of the Argentine tango," she said.

Apolo Ohno & Karina Smirnoff
Their big top jazz routine was another sticking point for Carrie Ann and Bruno. She found the mime-themed dance "very disjointed," "out of sync" and "quite sloppy." He found it "edgy, surreal" and a "great mixture of jazz movement." They earned 27 points. But there was no arguing over their rumba to "Man in the Mirror," which earned a perfect 30. "It was like the sea," Len said. "There was wave after wave of effortless motion. There was a subtlety to it, there was a calmness. It captivated. It was fabulous."

Emmitt Smith & Cheryl Burke
The goal of their espionage lindy hop was to be cartoonish. Though that was tough for the former Dallas Cowboy, the judges were pleased and awarded the pair 27 points. "It was like a Looney Tunes version of James Bond," Bruno said. "It was the most fun performance I've seen you do." Their tango to "Leave Me Alone" was more of a challenge, but Len still gave Smith credit: "You've coped marvelously well with two dances that didn't really suit you," he said.

Kelly Monaco & Val Chmerkovskiy
Their surfer flamenco was super sexy – Val ended up in nothing but Speedo! – but the judges had issues with their technique, and handed out only 25.5 points. "It had a lot of aggression and a lot of fire. But the flamenco has very, very exact placement and it wasn't there," Bruno said. Carrie Ann called it "robotic." But they added 28.5 points with a romantic rumba to "I Just Can't Stop Loving You." "That was smoldering, driven by desire, consumed by lust," Bruno said. "The chemistry between you two is literally singeing."

Two couples are heading home Tuesday night, leaving just three to compete in next week's finale. Who deserves a chance at the mirror-ball trophy? Discuss in the comments below.

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New push for most in US to get at least 1 HIV test

WASHINGTON (AP) — There's a new push to make testing for the AIDS virus as common as cholesterol checks.

Americans ages 15 to 64 should get an HIV test at least once — not just people considered at high risk for the virus, an independent panel that sets screening guidelines proposed Monday.

The draft guidelines from the U.S. Preventive Services Task Force are the latest recommendations that aim to make HIV screening simply a routine part of a check-up, something a doctor can order with as little fuss as a cholesterol test or a mammogram. Since 2006, the Centers for Disease Control and Prevention also has pushed for widespread, routine HIV screening.

Yet not nearly enough people have heeded that call: Of the more than 1.1 million Americans living with HIV, nearly 1 in 5 — almost 240,000 people — don't know it. Not only is their own health at risk without treatment, they could unwittingly be spreading the virus to others.

The updated guidelines will bring this long-simmering issue before doctors and their patients again — emphasizing that public health experts agree on how important it is to test even people who don't think they're at risk, because they could be.

"It allows you to say, 'This is a recommended test that we believe everybody should have. We're not singling you out in any way,'" said task force member Dr. Douglas Owens of Stanford University and the Veterans Affairs Palo Alto Health Care System.

And if finalized, the task force guidelines could extend the number of people eligible for an HIV screening without a copay in their doctor's office, as part of free preventive care under the Obama administration's health care law. Under the task force's previous guidelines, only people at increased risk for HIV — which includes gay and bisexual men and injecting drug users — were eligible for that no-copay screening.

There are a number of ways to get tested. If you're having blood drawn for other exams, the doctor can merely add HIV to the list, no extra pokes or swabs needed. Today's rapid tests can cost less than $20 and require just rubbing a swab over the gums, with results ready in as little as 20 minutes. Last summer, the government approved a do-it-yourself at-home version that's selling for about $40.

Free testing is available through various community programs around the country, including a CDC pilot program in drugstores in 24 cities and rural sites.

Monday's proposal also recommends:

—Testing people older and younger than 15-64 if they are at increased risk of HIV infection,

—People at very high risk for HIV infection should be tested at least annually.

—It's not clear how often to retest people at somewhat increased risk, but perhaps every three to five years.

—Women should be tested during each pregnancy, something the task force has long recommended.

The draft guidelines are open for public comment through Dec. 17.

Most of the 50,000 new HIV infections in the U.S. every year are among gay and bisexual men, followed by heterosexual black women.

"We are not doing as well in America with HIV testing as we would like," Dr. Jonathan Mermin, CDC's HIV prevention chief, said Monday.

The CDC recommends at least one routine test for everyone ages 13 to 64, starting two years younger than the task force recommended. That small difference aside, CDC data suggests fewer than half of adults under 65 have been tested.

"It can sometimes be awkward to ask your doctor for an HIV test," Mermin said — the reason that making it routine during any health care encounter could help.

But even though nearly three-fourths of gay and bisexual men with undiagnosed HIV had visited some sort of health provider in the previous year, 48 percent weren't tested for HIV, a recent CDC survey found. Emergency rooms are considered a good spot to catch the undiagnosed, after their illnesses and injuries have been treated, but Mermin said only about 2 percent of ER patients known to be at increased risk were tested while there.

Mermin calls that "a tragedy. It's a missed opportunity."

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Stock index futures signal lower start

LONDON (Reuters) - Stock index futures pointed to a lower open on Wall Street on Tuesday, with futures for the S&P 500 and Nasdaq 100 down 0.2 percent, and Dow Jones contracts down 0.1 percent at 0905 GMT.

Japan's Nikkei <.n225> ended a four-day winning run on Tuesday as investors took profits in exporters, which had rallied on hopes Japan's main opposition party would win next month's election and pressure the central bank for more stimulus steps.

European shares edged lower early on, with the French CAC 40 <.fchi> a core euro zone laggard after ratings agency Moody's issued a long-awaited downgrade of France's credit rating.

The U.S. Commerce Department releases housing starts and permits data for October at 1330 GMT, expected to show a pull-back after hefty gains in recent months. But a severe storm in late October could exaggerate the magnitude of the decline.

The Federal Reserve's Chairman Ben Bernanke speaks before the Economic Club of New York at 1715 GMT, a speech that may offer a fresh chance to gauge the Fed's appetite for more monetary stimulus. Market participants currently expect the Fed to step up asset purchases in 2013 after Operation Twist expires.

JPMorgan Chase & Co named little-known executive Marianne Lake as its chief financial officer on Monday, making her one of the most powerful women on Wall Street and the top ambassador to investors for the largest U.S. bank.

The U.S. International Trade Commission will review a judge's decision which found did not violate patents owned by Samsung Electronics in making the iPod touch, iPhone and iPad.

Tiger Global Management, a technology focused hedge fund run by Chase Coleman and Feroz Dewan, disclosed a big stake in Groupon Inc on Monday, a vote of confidence for the struggling daily deal website.

Best Buy reports quarterly results, expected to show a fall in earnings per shares to $0.12 from $0.47, as the world's largest consumer electronics chain struggles to fend off online and discount rivals. Investors are awaiting word on whether founder and top shareholder Richard Schulze comes through with a formal bid to take the company private.

Hewlett Packard, H.J. Heinz Company and salesforce.com are also among companies due to report results on Tuesday.

Archstone Inc, the apartment building owner and developer owned by Lehman Brothers Holdings Inc, said on Monday it plans to raise up to $3.45 billion in its initial public offering, making it the biggest U.S. commercial real estate IPO ever.

Stocks rose for a second consecutive session on Monday as investors were encouraged by the early atmosphere surrounding talks to tackle the nation's fiscal crunch.

President Barack Obama and the U.S. Congress hope to start serious negotiations after this week's Thanksgiving holiday on Thursday on how to avoid the "fiscal cliff," which has politicians and economists worried about the direction of the world's largest economy.

The Dow Jones industrial average <.dji> rose 207.65 points, or 1.65 percent, on Monday to 12,795.96 points. The Standard & Poor's 500 Index <.spx> was up 27.01 points, or 1.99 percent, at 1,386.89. The Nasdaq Composite Index <.ixic> was up 62.94 points, or 2.21 percent, at 2,916.07.

(Reporting By Francesco Canepa/editing by Chris Pizzey, London MPG Desk, +44 (0)207 542-4441)

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Gaza Clash Escalates With Deadliest Israeli Strike

Bernat Armangue/Associated Press

Smoke rose over Gaza City on Sunday, as Israel widened its range of targets to include buildings used by the news media.

CAIRO — Emboldened by the rising power of Islamists around the region, the Palestinian militant group Hamas demanded new Israeli concessions to its security and autonomy before it halts its rocket attacks on Israel, even as the conflict took an increasing toll on Sunday.

After five days of punishing Israeli airstrikes on the Hamas-controlled Gaza Strip and no letup in the rocket fire in return, representatives of Israel and Hamas met separately with Egyptian officials in Cairo on Sunday for indirect talks about a truce.

The talks came as an Israeli bomb struck a house in Gaza on Sunday afternoon, killing 11 people, in the deadliest single strike since the conflict between Israel and Hamas escalated on Wednesday. The strike, along with several others that killed civilians across the Gaza Strip, signaled that Israel was broadening its range of targets on the fifth day of the campaign.

By the end of the day, Gaza health officials reported that 70 Palestinians had been killed in airstrikes since Wednesday, including 20 children, and that 600 had been wounded. Three Israelis have been killed and at least 79 wounded by unrelenting rocket fire out of Gaza into southern Israel and as far north as Tel Aviv.

Hamas, badly outgunned on the battlefield, appeared to be trying to exploit its increased political clout with its ideological allies in Egypt’s new Islamist-led government. The group’s leaders, rejecting Israel’s call for an immediate end to the rocket attacks, have instead laid down sweeping demands that would put Hamas in a stronger position than when the conflict began: an end to Israel’s five-year-old embargo of the Gaza Strip, a pledge by Israel not to attack again and multinational guarantees that Israel would abide by its commitments.

Prime Minister Benjamin Netanyahu of Israel stuck to his demand that all rocket fire cease before the air campaign lets up, and Israeli tanks and troops remained lined up outside Gaza on Sunday. Tens of thousands of reserve troops had been called up. “The army is prepared to significantly expand the operation,” Mr. Netanyahu said at the start of a cabinet meeting.

Reda Fahmy, a member of Egypt’s upper house of Parliament and of the nation’s dominant Islamist party, who is following the talks, said Hamas’s position was just as unequivocal. “Hamas has one clear and specific demand: for the siege to be completely lifted from Gaza,” he said. “It’s not reasonable that every now and then Israel decides to level Gaza to the ground, and then we decide to sit down and talk about it after it is done. On the Israeli part, they want to stop the missiles from one side. How is that?”

He added: “If they stop the aircraft from shooting, Hamas will then stop its missiles. But violence couldn’t be stopped from one side.”

Hamas’s aggressive stance in the cease-fire talks is the first test of the group’s belief that the Arab Spring and the rise in Islamist influence around the region have strengthened its political hand, both against Israel and against Hamas’s Palestinian rivals, who now control the West Bank with Western backing.

It also puts intense new pressure on President Mohamed Morsi of Egypt, a former leader of the Muslim Brotherhood who was known for his fiery speeches defending Hamas and denouncing Israel. Mr. Morsi must now balance the conflicting demands of an Egyptian public that is deeply sympathetic to Hamas and the Palestinian cause against Western pleadings to help broker a peace and Egypt’s need for regional stability to help revive its moribund economy.

Indeed, the Egyptian-led cease-fire talks illustrate the diverging paths of the Muslim Brotherhood and Hamas, a Palestinian offshoot of the original Egyptian Islamist group. Hamas has evolved into a more militant insurgency and is labeled a terrorist organization by the United States and Israel, while the Brotherhood has effectively become Egypt’s ruling party. Mr. Fahmy said in an interview in March that the Brotherhood’s new responsibilities required a step back from its ideological cousins in Hamas, and even a new push to persuade the group to compromise.

Reporting was contributed by Ethan Bronner, Irit Pazner Garshowitz and Isabel Kershner from Jerusalem, and Peter Baker from Bangkok.

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Justin Bieber Brings His Mom to the American Music Awards

By Maggie Coughlan

11/18/2012 at 09:35 PM EST

Pattie Mallette and Justin Bieber

Jonathan Alcorn/Reuters/Landov

Mother knows best!

Despite his recent split from Selena Gomez, Justin Bieber still had a date for the 40th American Music Awards on Sunday: his mother, Pattie Mallette.

Malette – who recently penned Nowhere But Up: The Story of Justin Bieber's Mom – looked thrilled to pose for photographs with her son.

When Bieber won the first award of the night, for favorite pop/rock male artist, his proud mother, 38, beamed.

"I want to say this is for all the haters who thought I was just here for one or two years. I feel like I'm going to be here for a very long time," the singer said as he accepted the award.

The award was a highlight during a rocky week for Bieber, who on Friday reunited with Gomez, 20, for dinner at a Japanese restaurant in Los Angeles. But just five minutes after entering the restaurant, the couple emerged with Gomez looking visibly "mad," says a source.

Later that night, Bieber Tweeted "Things aren't always easy. there is a lot of pressure. im figuring it all out. im trying. but i care, i notice, i still hear u. #Beliebers."

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EU drug regulator OKs Novartis' meningitis B shot

LONDON (AP) — Europe's top drug regulator has recommended approval for the first vaccine against meningitis B, made by Novartis AG.

There are five types of bacterial meningitis. While vaccines exist to protect against the other four, none has previously been licensed for type B meningitis. In Europe, type B is the most common, causing 3,000 to 5,000 cases every year.

Meningitis mainly affects infants and children. It kills about 8 percent of patients and leaves others with lifelong consequences such as brain damage.

In a statement on Friday, Andrin Oswald of Novartis said he is "proud of the major advance" the company has made in developing its vaccine Bexsero. It is aimed at children over two months of age, and Novartis is hoping countries will include the shot among the routine ones for childhood diseases such as measles.

Novartis said the immunization has had side effects such as fever and redness at the injection site.

Recommendations from the European Medicines Agency are usually adopted by the European Commission. Novartis also is seeking to test the vaccine in the U.S.

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Global shares rally on U.S. fiscal hopes

LONDON (Reuters) - World shares rose and German government bond prices fell on Monday as investors were encouraged by an improving outlook for talks to resolve an imminent fiscal crunch in the United States.

U.S. lawmakers expressed confidence on Sunday that they could reach a deal to avert the $600 billion "fiscal cliff", which threatened to send the giant economy back into recession.

"If we don't get any deal, and the automatic provisions kick in, it will be a massive blow to economic confidence globally," said Ric Spooner, chief market analyst at CMC Markets.

"And any attempt to just kick this down the road for a later date is also going to have negative implications for the global economy, not just the United States."

However, the rally in share markets only erased part of the losses seen last week with investors still concerned about the ongoing battle to find a long-term funding solution for Greece and the rising tension in the Middle East.

The MSCI world equity index <.miwd00000pus> was up 0.5 percent at 318.94, recovering from a 2.7 percent loss last week, its biggest five-day fall since early June. MSCI's broadest index of Asia-Pacific shares outside Japan <.miapj0000pus> also rose 0.5 percent, recovering from Friday's nine-week low.

The FTSE Eurofirst 300 index <.fteu3> of top European shares was up 0.7 percent in early trading with London's FTSE 100 <.ftse>, Paris's CAC-40 <.fchi> and Frankfurt's DAX <.gdaxi> as much as 1.0 percent higher. <.l><.eu/>

In the bond market German Bund futures fell 14 ticks to 143.17, although they remain firmly within the 142.83 to 143.48 range that held throughout last week's trading, while U.S. debt futures also dipped.

DOLLAR STRENGTH

In the currency market the dollar rose on growing expectations that a new Japanese government, after the elections to be held next month, will push the Bank of Japan into taking aggressive monetary stimulus measures to boost economic growth.

The dollar rose to as high as 81.59 yen, its highest level since April 25, before settling to trade around 81.25 yen, down 0.2 percent from late U.S. trade on Friday.

The BOJ begins a two-day policy meeting on Monday, and is not expect to take fresh policy steps ahead of the December 16 vote.

The euro rose about 0.1 percent to $1.2755 as the market waits to see how euro zone finance ministers and the International Monetary Fund will resolve their differing views on managing Greece's debt mountain.

European officials are due to meet on Tuesday and are expected to discuss a two-year funding deal for Greece deal which would postpone any longer-term solution until after a September 2013 German general election.

"As the EU prepares a bundled aid package to avert a Greek default, headlines coming out of the meeting may fuel a relief rally in the euro, but we will maintain our bearish forecast for the single currency as the region faces a deepening recession," said David Song, currency analyst at DailyFX.

In oil markets, Brent crude rose to almost $110 a barrel as escalating violence between Israel and the Palestinians fuelled concerns about supplies from the Middle East.

Brent crude for January delivery was up $1 to $109.95 and U.S. crude futures gained 80 cents to $87.72 a barrel.

(Reporting by Richard Hubbard; Editing by Giles Elgood)

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Israel Bombs Government and Media Sites in Wider Attack

Mohammed Saber/European Pressphoto Agency

Two children look through the rubble of their house after an airstrike in Beit Lahiya, Gaza, on Sunday.

GAZA CITY — Israel pressed its assault on the Gaza Strip early Sunday, deploying warplanes and naval vessels to pummel the coastal enclave as Israeli forces widened the onslaught from mostly military targets to media offices and centers of government infrastructure including on Saturday the four-story headquarters of the Hamas prime minister.

Prime Minister Benjamin Netanyahu coupled developments on the ground with a blunt warning that Israel was ready to significantly expand the attack, a possible reference to a much-heralded ground attack.

“We are exacting a heavy price from Hamas and the terrorist organizations and the Israel Defense Forces are prepared for a significant expansion of the operation,” he told his cabinet, without referring directly to the call-up of thousands of reservists and the massing of armor on the Gaza border that many analysts have interpreted as preparations for a possible invasion.

Mr. Netanyahu’s remarks were reported shortly after Israel’s “Iron Dome” defense shield intercepted at least one rocket aimed at Tel Aviv on Sunday, Israeli officials said, in the latest of several salvoes that have illustrated Hamas’s ability to extend the range of its attacks.

The crash of explosions pierced the Gaza City quiet several times throughout the early morning, with one attack injuring several journalists at a communications building, witnesses said. A rocket fired from Gaza ploughed through the roof of an apartment building in the southern Israeli city of Ashkelon but there were no immediate reports of casualties there.

The onslaught continued despite talks in Cairo that Egyptian President Mohamed Morsi said Saturday night he thought could soon result in a ceasefire. Prime Minister Netanyahu said he would consider a comprehensive ceasefire if the launches from Gaza stop.

The attack on the office of the Hamas prime minister, Ismail Haniya, one of several on government installations, came a day after he hosted his Egyptian counterpart in that very building on Friday, a sign of Hamas’s new legitimacy in a radically redrawn Arab world.

That stature was underscored Saturday by a visit to Gaza from the Tunisian foreign minister and the rapid convergence in Cairo of two Hamas allies, the prime minister of Turkey and the crown prince of Qatar, for talks with the Egyptian president and the chairman of Hamas on a possible cease-fire.

But Mark Regev, a spokesman for Mr. Netanyahu, denied reports that a truce was imminent.

It was unclear whether the deal under discussion in Cairo would solely suspend the fighting or include other issues. Hamas — which won elections in Gaza in 2006 and took full control in 2007 but is considered a terrorist organization by Israel and the United States — wants to turn its Rafah crossing with Egypt into a free-trade zone and seeks Israel’s withdrawal from the 1,000-foot buffer it patrols on Gaza’s northern and eastern borders.

For his part, Mr. Netanyahu spoke with the leaders of Britain, Germany, Italy, Greece, Poland, Portugal, Bulgaria and the Czech Republic, according to a statement from his office. On Sunday, he said he appreciated the “understanding they are displaying for Israel’s right to defend itself.”

As the fighting entered its fifth day, the conflict showed no sign of abating.

Palestinian news agencies reported that two children were killed in a predawn strike on Sunday in Beit Lahiya in northern Gaza. The Israeli military said it had “targeted dozens of underground launchers” overnight and also hit what it called a Hamas training base and command center. The Israeli Navy “targeted terror sites on the northern Gaza shore line,” the statement said, in repeated rounds of multiple missiles that could be easily heard.

Among the buildings Israel hit overnight were two containing the offices of local media outlets. A statement from the Israeli Defense Forces initially described one of its targets as “a communications facility used by Hamas to carry out terror activity against the state of Israel.” Within minutes, the I.D.F. recalled that statement and replaced it with one referring to “a communications antenna.”

Salama Marouf of the Hamas media office issued a statement condemning what he called an “immoral massacre against the media” and calling the attack a “confession” by Israel “that it has lost the media battle.”

Six journalists were injured in the first attack, around 2:30 a.m., in the Shawa and Hossari Building in downtown Gaza City, which houses two local radio stations -- one run by the militant Islamic Jihad -- and the offices of the Ma’an Palestinian news agency as well as the German broadcaster ARD.

One of the journalists injured on Sunday, Khader Zahar of the Beirut-based Al Quds satellite channel, lost a leg in the explosion, which hit its 11th-floor studio.

Jodi Rudoren reported from Gaza City, Isabel Kershner from Jerusalem and Alan Cowell from London. Reporting was contributed by Fares Akram and Tyler Hicks from the Gaza Strip, Carol Sutherland and Iritz Pazner Garshowitz from Jerusalem, and David D. Kirkpatrick and Mayy El Sheikh from Cairo.

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