>> shep: i'm shepard smith. this is the fox report. it's the bottom of the hour. time for the top of thedrums ofn israel. the israelis preparing for what may become a ground invasion in gaza as fighters on both sides continue exchanging fire today. the situation in this volatile corner of the world growing more fragile by the hour. already there have been innocent victims on both sides. a rocket killed three people today when it slammed into their apartment building in the south of israel. in the gaza, officials say the violence killed eight civilians, including four children. and a woman who was pregnant with twins. that number has grown to 16. a u.s. state department spokesman puts the blame squarely on the military leadership of hamas. >> it claims the have the best interest of the palestinian people at heart, but through its actions, it's showing a far different agenda.

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