Concern about the further decline of Israeli-Palestinian relations once again emerged after Gaza-based militants fired a fresh volley of rockets into Israel despite an informal ceasefire brokered by Egypt between the Jewish state and Islamist Hamas, following three days of violence.

After five days of cross-border violence and yet other death added to the already large death toll of a conflict that has lasted for more than a hundred years, officials have announced Monday that Israel and Hamas, an Islamist group which controls the Gaza Strip have agreed to a ceasefire .

Officials involved in the negotiation first said both camps had "reached an understanding on a truce and that the truce has started", which was later on confirmed by a Palestinian official who said Hamas had agreed to enforce the ceasefire on smaller militant groups which had been found responsible of firing rockets at Israel in the last few days.

A Hamas official on Sunday said that all of Gaza's militant groups had agreed to a ceasefire with Israel, starting at 9 p.m. on Sunday evening, but as attacks continued through the night, fears about the implementation of the cease fire surfaced.

A spokesman for Islamic Jihad also confirmed the news of a ceasefire, but the organisation published a statement insisting Israel had asked for the cease fire first.

"Israel is the one that asked for a lull because of the situation it is in," the statement said.

A Popular Resistance Committees spokesman also issued a statement earlier this time warning that the group would refuse to a ceasefire agreement with Israel.

"Our stance is clear. We have no connection to the ceasefire agreement with the Zionist enemy," Abu Mujahed told the local media.

Israel had first stepped up violence by assassinating members of the PRC and it now had to take responsibility for its actions, he said.

"We cannot accept a ceasefire while airstrikes continue to reverberate everywhere," Abu Mujahed said, adding that the ceasefire was "cursed".

As rockets continued to be fired over the week-end, Israel also kept on retaliating, launching an airstrike last night that reports said targeted a rocket-launching device.

While first reports of both Israel and Hamas negotiating a ceasefire was widely welcomed, hope that the deal would help restore calm in Gaza soon vanished.

Within hours however, three Grad rockets, a Qassam rocket and several mortar shells were fired into southern Israel between Sunday evening and early Monday morning, proving that not all the militants groups agreed with the agreement.

The renewal of violence began after militants set up an attack that killed a total of eight Israelis near the Egypt-Israel border on Thursday. Another Israeli was also was killed by rocket fire.

Israel however killed 15 Palestinians in retaliatory airstrikes led by its Air Forces in various parts of the Gaza Strip.

As the situation is becoming increasingly tense, analysts warn that the increase in violence could now threaten Israel's peace accord with Egypt, which accused Jerusalem of killing five of its security forces while chasing the militants responsible for ambush on Thursday.

As impromptu demonstrations were organised against Israel's killing of the Egyptians security forces, Tel Aviv expressed regret for the incident and Cairo later on took the leading position in the new informal ceasefire between Israel and Hamas.