Israel carried out retaliatory strikes on Gaza Saturday killing a Palestinian and wounding two others, following two nights of rocket attacks that were the first since September.

Hamas, the Islamist rulers of Gaza, denounced a "serious escalation" and said Israel will be held "responsible for the consequences" of the raids.

Dozens of pre-dawn strikes targeted Hamas bases and those of allied militant groups, a Gaza security source said.

The Israeli army said the strikes targeted "a wide range of Hamas terror targets", including a naval base, a military compound and a weapons manufacturing plant.

The Hamas-run health ministry identified the person killed as Ahmed al-Shehri, 27. It did not say whether he was affiliated with any armed group. Two other Palestinians were seriously wounded, the ministry said.

Hundreds of Palestinians attended Shehri's funeral on Saturday in the southern Gaza Strip, an AFP correspondent said.