10:32 AM PT: Update 1: HAMAS has stated: "No more Red Lines"...

Hamas is vowing to avenge the death of commander Ahmed Al-Jabari, who was killed in an airstrike earlier on Wednesday. Hamas official Ismail al-Ashqar said that the “resistance’s possibilities” are now open and include suicide bombings and high profile attacks inside Israeli cities. 

“The resistance can cause Israel great misery,” he said. Shortly after the hit, a Color Red siren sounded in Hof Ashkelon and two rockets exploded in an open area. No injuries were reported.

12:08 PM PT: Egypt's Government is predictably condemning this:

"Foreign Minister Mohamed Kamel Amr condemned the series of air strikes that Israel is currently conducting against Gaza Strip and which led to the killing of Ahmed Jabari," the statement released by Egypt's foreign ministry said.
"He called on Israel to stop its strikes on Gaza Strip immediately," the statement added.
On Tuesday, Egypt's Muslim Brotherhood sharply criticized Israeli leaders over airstrikes in the Gaza Strip, accusing them of heating up the conflict to score political points ahead of elections.
In its statement, the Brotherhood's Freedom and Justice Party referred to Israel as a "Zionist occupier" and a "racist state," placing Israeli Prime Minister Benjamin Netanyahu and Foreign Minister Avigdor Lieberman on the "fringes" of the "far right."
"In the framework of elections that Israel is witnessing is a recent military escalation against occupied Gaza and the occupied Golan Heights," the statement said. Israel has set parliamentary elections for January 22.
Militants in Gaza have fired more than 110 rockets towards southern Israel since Saturday, when four soldiers were wounded in an anti-tank missile attack on an IDF jeep, and six Palestinians have been killed in the ensuing IDF strikes on the Gaza Strip in response.

And why look - our "Radical Islam Loving" President (/snark) showed just why he was the right choice for the Jewish people and for Israel despite the fevered lying of the Deranged Right Wing:

4:13 PM PT: Egypt has recalled it's ambassador to Israel and Israel has recalled it's ambassador to Egypt.
And this from the U.S.: http://www.ynetnews.com/...

We support Israel's right to defend itself, and we encourage Israel to continue to take every effort to avoid civilian casualties," US State Department spokesman Mark Toner said in a statement on Wednesday.

"We strongly condemn the barrage of rocket fire from Gaza into southern Israel, and we regret the death and injury of innocent Israeli and Palestinian civilians caused by the ensuing violence," he added.