Lets begin though with the breaking news in the middle east conflict. Wolf blitzer joining us live from jerusalem this morning. Wolf, whats the latest from the ground . There seems to have been a lull thursday and things got bad thursday night. Potentially could be getting a whole loss worse in the coming hours. Any hope of a ceasefire seems to be dashed, at least for now, after a very serious escalation of this conflict. Right now israel is launching powerful air strikes on gaza city and other targets inside gaza. Overnight 70 sites were targeted. Among them, home of a senior hamas leader, a Radio Station run by militant group and gazas ministry of finance. Israel is now warning of a prolonged ground war in gaza as the death toll on both sides continues to climb. Martin savidge is with me here in jerusalem. Hes been working all these latest developments. I think youll agree it could get a whole lot worse, as bad as it is right now. Absolutely. And i think the negotiate here of israel is being warned about the very fact. Just really yesterday at this very time, we were kind of getting a sense maybe it was deescalating a bi. The level of violence seemed to be down. That all changed tragically tomorrow afternoon and late last night. Explosions rocking gaza city throughout the night. Accompanied by the sound of israeli drones overhead searching for more hamas targets. This morning smoke villas from a hamasrun Radio Station that took a direct hit. The renewed violence began earlier with two deadly blasts on monday, first killing ten people, mostly children, playing on this busy street, second at the hospital leaving two people injured. Neither side accepting responsibility for the bloodshed. A hamasrub news outlet blaming the devastation on an israeli drop while israels military blames hamas rockets fired towards israel that fell short. Israelis and palestinians have a responsibility to stop the fighting now. Reporter World Leaders continue to push for a humanitarian ceasefire which would allow for critical aid into gaza. Speaking on television, israeli Prime MinisterBenjamin Netanyahu warned israelis to be prepared for a lenny campaign. Hopefully, if we can make some progress, the people in this region who deserve peace can take one step towards that elusive goal. Reporter secretary of state john kerry who admitted monday there were misunderstandings during talks now under fire for his failure to achieve a week long truce to stop the rising death toll. It was a deadly day also for the Israeli Military. Ten Israeli Soldiers were killed which brings the total killed to 52. I would assume also the country is getting ready for more israeli casualties, obviously more palestinian casualties but it looks like more Israeli Soldiers will be killed as this operation escalates. More than they have seen in quite a while. That will go along for quite a while. As a lot of the casualties here in israel, serious numbers but a lot more casualties in gaza. Cnns karl penhaul was live in the middle of a report on cnn when an israeli air strike landed about 200 yards away from him and his team of in gaza city. Watch this. Reporter you would have seen okay. Im going to move out of the way, poppy, and were going to get a camera shot. Lets have him move as far away as we can. Karl is joining us live from gaza city. I assume you and our team in gaza city, everybody okay . Reporter yeah, everybody is okay, thanks, wolf. Of course, we do have to duck down from those kinds of incidents, not only caught us by surprise because also, if you know, if a bomb goes off that close tow it could be spreading slel nell across a very wide area, several hundred yards so we really have to take cover when Something Like that comes in. Reporter whats going on right now . What do you see behind you and in the vicinity . More air strikes, more artillery, whats going on . Reporter hear in gaza city we have heard air strikes going in over the course of the morning. We believe that those are going in from the f16 fighter bombers. Theres also a lot of activity from the israeli drones as well. They sound like giant lawn mowers and there are a lot of them up there right now as they were last night when the lum nation rounds were coming down on gaza trying to shed some light on possible targets down below and the death toll, of course, is rising that now is close to 1,100 palestinians killed in the course of this confrontation and the United Nations continues to say that 75 of those are civilians, and that strike that you saw on tv just earlier on when we were on an earlier live shot, that went into an Apartment Building behind us. Weve been here for three weeks now. We havent seen any military activity going on from that building, and we do know that that building is used as an Apartment Building for families who are trying to flee the violence elsewhere. In fact yesterday the Israeli Military warning palestinians in northern gaza to flee to safety in central gaza and in gaza city, and so imagine their dismay last night when the place that was supposed to be safe for them was turned into a war zone. Wolf . Theres entire gaza strip right now clearly a war zone. Thanks so much, karl penhaul and our entire team in gaza. Lets get the israeli perspective from martin regev, the spokesman for Prime MinisterBenjamin Netanyahu. What did the Prime Minister mean yesterday when he said israel should be ready for a long period potential life warfare . Unfortunately, it appears that hamas is refusing every serious ceasefire offer thats been put on the table, even humanitarian ceasefire hamas has rejected them all or violated them. Now, yesterday was another example of this. Yesterday we started the day with Israeli Military given instructions just to deal with the tunnel threat and to defend themselves, and we actually put a freeze on offensive operations against terrorist targets in gaza, and that was our attempt to deescalate. What did hamas do . We, as the Prime Minister said, at the end of the day a very, very hard difficult day. We took casualties. We had hamas rockets fired deep into israel, up north overshooting tel aviv reaching the haifa bay area. Hadnt had that before. We took casualties with the terrorists coming through the tunnels, mortars on our border and took hits for our soldiers on our side of the frontier. Hamas has to understand a ceasefire is not israel alone ceasing its fire. Ceasefire means hamas stops firing as well. What if they do, tomorrow or today hamas says we want a ceasefire, 24hour pause. We wont send rockets. We wont send missiles, we wont send infiltrators through tunnels into israel, we want to see this stop for 2 hours. The u. N. Will support that, the u. S. Will support that, will israel . Weve been there and done that. What if they do it again . On sunday hamas announced a ceasefire and within three or four minutes they violated the own ceasefire. We dont need words. What if they do . We needhamias to stop shooting rockets on israeli cities and need hamm hamas to stop infiltrating through the tunnels with armed groups of explosives and automatic explosive and rocketpropelled grenades to try to kill our people. We needhamias to cease all offensive operations against israel. When that happens you can ask me the question. Up until now weve heard talk of ceasefire. Israel has held its fire and hamas has refused to do so. Were you were with me two weeks ago when israel unilaterally accepted a ceasefire proposal of the egyptians. We held our fire, not for one, not for two hours but for six hours, and hamas just kept shooting, 50 rockets at israel. A ceasefire, if its going to work means hamas must stop firing. If that egyptian proposal could be revived as it was two weeks ago, and i remember we were both in tel aviv, we were both on cnn when that ceasefire went into effect and hamas were to accept it, would israel would again it. My Prime Minister said to cnns crowley on sunday. Candy crowley. That the egyptian ceasefire proposal is the only game in town, and why is that . Because the egyptian ceasefire proposal calls for an immediate ceasefire of all violence, and then we meet in cairo, israeli teams, palestinian teams and we discuss how we can move on from there, and so you stop fire immediately and then you start discussion. And the reason you didnt like secretary kerrys proposal is because he went further than the egyptian proposal and accepted some of the qatary and turkish demands closer to hamas. We heard from president obama and secretary kerry, full support and the United States supports the egyptian proposal. I will is it good . Because it immediately ends all fire, and it allows the parties, the palestinians and us to raise our concerns, and, of course, for us the major concern we want to raise is demilitarizati demilitarization. We dont want to revisit this conflict in six months. We want it behind us. How strained is the u. S. Israeli relationship, because if you read the israelis press and i do, and you read it as well, looks like theres a real rupture between the Obama Administration and Prime Minister netanyahus government. Lets be clear. The United States has been standing with israel with strong support and multiple condemnation of hamas for multiple attacks on our people and multiple condemnation for using palestinians as human shields. Lets be clear here. The United States is very strong on israels right to defend itself, and would i like to add something. We with the help of iron dome, an americanisraeli joint venture, weve shut down hundreds of rockets that have come into israel, shot them down before they reached the targets over israeli open areas. That means countless israeli lives have been saved because of american cooperation. We understand america is our partner and ale and together with the United States weve got to defeat terrorists like hamas. Mark regev, thanks very much for joining us. Ive been told by Israeli Intelligence sources they believe hamas still has about 3,000 rockets and missiles in their arsenal, about 7,000, 6,000 to 7,000 have either been used or destroyed by the Israeli Military, but they think they have about 3,000 or so and one of israels goals in addition to destroying the tunnels is to eliminate that entire ars arsenal of rockets and missiles. That could take a while. By the way, later in the program here on new day, well speak with the Palestinian Ambassador and permanent observer at the United Nations, but in the meantime lets if back to you. Great reporting on the ground. We thank you for that. Ending munitions wont end the battle there. They have to find a political solution. That does not seem like its coming today. Not today. A lot of news though today so lets get you right to mick. A look at headlines, house and Senate Leaders announced a deal monday to Reform Veterans AffairsHealth Care System this. Proposed bill would provide 17 billion to add medical staff and new facilities. A vote could come later this week. The department has been rocked, as you know, by scandal that was first reported by cnn reporting long delays at the v. A. Medical center in phoenix. President obama is reportedly considering granting work permits to millions of undocumented immigrants before the midterm elections, thats according to the associated press. This plan would let them stay in the u. S. Without the threat of deportation. The white house has said the president will take executive action if Immigration Reform legislation continues to stall in congress. Meantime, congress will hold two hearings this morning on issues related to the ongoing border crisis. It may be a losing battle but Donald Sterling is not giving up his fight to keep the los angeles clips. A california judge has ruled against sterling in his attempt to block the sale of the team to former microsoft ceo Steve Ballmer, a deal that his wife shelly brokered. The judge maintained that shelly acted properly in removing her husband from a family trust that owns the team, and he also ruled the sale can go forward regardless of appeals. A white house awards ceremony turned into a bit of a president ial confession on monday. President obama was presenting the National Medal of arts to 12 recipients including dreamworks show jeffrey cantberg and singer Linda Ronstadt who was singled out for special recognition. The president admitting that he had a crush on the desperado singer back in the day. No word on what ronstadt replied. If you had the honor of presenting somebody with an award, who would you say, young kate balduan fancied im going to blush and im not going to say here. Im not going to say here, because that had to be a big shocker though, that the president thats what im saying. Wouldnt you be frozen say and said i had a big crush on you . What do you say to that, thanks . Who is yours . Hi so many. I had tshirts i wrote a someone on new kids in the block would definitely have been on mine. I wrote it, remember theo huxtable, all about him when i was about 15, yeah. I was talking music, not going please, dont even get me start there had. Oh, yeah, exactly. Much to discuss in the break. Apparently. This is only getting started. Coming up next on new day, frosty relations between the u. S. And russia take yet another hit, the white house accusing moscow of violating an arms treaty that helped bring about the end of a cold war. Were live with the details. Plus, did you hear about this shootout on the streets of new york city . A suspected child molester turns homicidal as officers try to arrest him. How he wounds up dead but not before doing more damage. He had just been profiled on cnns the hunt. What age you are. Ont ce take them on the way you always have. Live healthy and take one a day mens 50 . A complete multivitamin with 7 antioxidants to support cell health. Age . Who cares. When folks think about wthey think salmon and energy. But the energy bp produces up here creates Something Else as well jobs all over america. Engineering and innovation jobs. Advanced Safety Systems technology. Shipping and manufacturing. Across the United States, bp supports more than a quarter million jobs. When we set up operation in one part of the country, people in other parts go to work. Thats not a coincidence. Its one more part of our commitment to america. Welcome back to new day. It has been almost two weeks since mh17 was believed shot out of the sky, and investigators still have been unable to look for the dead or work in any real way at crash site in Eastern Ukraine. Intense fighting forced the team once again to abandon efforts. The dutch Prime Minister is asking ukraines president to call for an end to the violence so investigators can finally reach the site and get to work. Lets bring in ivan watson live from ukraine this morning. Ivan, whats the latest . Reporter well, heres whats blocking the investigators. The Ukrainian Military announced yesterday, chris, that it had launched an offensive to capture several key towns around the Malaysian Air crash zone, so as you mentioned, you have the dutch Prime Minister, the country that lost the most victims aboard that plane calling the president of ukraine here in kiev, asking him to please stop the fighting around the crash zone. This morning dozens of dutch and australian investigators shut out for the Third Straight day from entering the mh17 crash site. The fighting so fierce that the team didnt even leave donetsk to travel to the disaster zone today. According to prorussian renls, Ukrainian Government forces gained control of parts of the area, digging trenches and stationing Armored Vehicles marking their territory. The International Investigation now stalled 12 days after the crash. It is frustrating to have to wait to do the job that they came to do. Their motivation comes from the deep conviction that the relatives and all the Different Countries are entitled to have their loved ones and the personal effects returned to them. Reporter on monday the u. S. Announcing they will impose new sanctions on russia, the European Union meeting today on the issue, a warning to moscow, stop providing the rebels with representons. Our purpose here again is not to furnish russia but to make clear it must seek support from the separatists and stop destabilizing ukraine. Reporter this as clashes between ukrainian militants and prorussian rebels are pushing everyone back. One of our cnn crews en route to the site forced to turn around on monday but pro russian separatists. Amid the thunder of rockets and artillery civilians caught in the middle, fleeing with their families as their once peaceful home becomes a deadly battleground. Chris, the Ukrainian Military seems to have been making advances in recent days so they clearly dont want to slow that down. When it comes to the crash site they deny that they have any presence on the crash site but then they give kind of