Hezbollah says it fired missiles from Lebanon into Israel

Beirut. Lebanon's Iran-backed Hezbollah group said it fired missiles on Israel Wednesday drawing retaliatory Israeli fire, after three of its members were killed earlier this week amid soaring border tensions.

The exchange of fire came as Israel massed troops and heavy armour around Gaza in its retaliatory campaign against Hamas militants in a conflict that has left hundreds dead on both sides.

Hezbollah "targeted a Zionist (Israeli) position... facing Dhayra village, with guided missiles," in a "firm response to Zionist attacks... which led to the martyrdom of a number of brothers," the group said in a statement.

The group warned of a "decisive" response to Israeli attacks "targeting our country and the security of our people, especially when these attacks lead to the deaths of martyrs".

The Israeli military said that "in response to the anti-tank missiles that were launched at... soldiers a short while ago, the IDF (army) is currently striking in Lebanese territory".

Lebanon's National News Agency said two civilians had sustained "light injuries" in the border village of Dhayra, where an AFP correspondent reported shelling close to residential areas that triggered fires in nearby groves.

The NNA said Israeli fire on several locations along the border had been "countered by resistance (Hezbollah) machine guns".

An AFP correspondent in the southern town of Qlaileh heard loud blasts, likely from rocket fire.

On Monday, Hezbollah said three of its members had been killed in Israeli strikes on south Lebanon after Palestinian militants tried to slip across the border.

Both Israel and its closest ally the United States have warned Hezbollah against opening a second front as Israel battles Hamas in Gaza.

The Israeli army is "prepared for any scenario", spokesman Daniel Hagari told reporters.

"Hezbollah is observing what Israel is doing in Gaza, it sees the volume of the destruction. Hezbollah sees this and understands," he said.

In Israel, the death toll from Hamas's shock cross-border assault rose to 1,200, the great majority of them civilians, while Gaza officials reported 1,055 people killed as Israel pounded the territory with air strikes.

In 2006, Hezbollah and Israel fought a devastating 34-day war that left more than 1,200 people dead in Lebanon, mostly civilians, and 160 in Israel, mostly soldiers.