Foreign Minister Bob Carr has urged Israel and the Palestinians to exercise restraint, saying a rocket attack on Jerusalem signifies a dramatic escalation of the worsening Middle East conflict.
Militants in the Gaza Strip fired rockets at both Jerusalem and Tel Aviv on Friday, further inflaming tensions and increasing the chances that Israel will send in ground troops to take on Hamas.
Israel is now massing troops at the Gaza border and has given its approval for the recruitment of up to 75,000 reservists.
Senator Carr says both sides should draw back from the brink of war.
"I understand Israel was already considering ground action," Senator Carr told Sky News on Saturday.
"That was before these rocket attacks, so it's extremely serious and a dramatic escalation that has us again, as Australians, calling for both sides to exercise a high degree of restraint."
Israeli Ambassador to Australia Yuval Rotem acknowledged the calls for restraint.
"The question is if we exercise restraint and the rockets continue to come all the way from Gaza, how are we going to stop it?" he told Sky News.
"The rockets need to be stopped."
The Jerusalem and Tel Aviv rockets were the furthest Gaza militants have ever fired into Israel. Neither rocket killed anyone or caused significant damage.
OBAMA REITERATES US SUPPORT FOR ISRAEL
Meanwhile, US President Barack Obama has reiterated US support for Israel's right to defend itself during a call with Israeli Prime Minister Benjamin Netanyahu about the conflict in Gaza.
"The president reiterated US support for Israel's right to defend itself, and expressed regret over the loss of Israeli and Palestinian civilian lives," the White House said in a summary of the conversation.
Netanyahu, who initiated the call, expressed his deep appreciation for US investment in the Iron Dome rocket and mortar defense system, "which has effectively defeated hundreds of incoming rockets from Gaza and saved countless Israeli lives," according to the readout.
The two leaders also "discussed options for de-escalating the situation." However, the White House statement did not provide any details.
Obama on Friday also spoke with Egyptian President Mohamed Morsi, commending his country's efforts to de-escalate the situation and expressing his hope that these efforts would be successful, the White House said.
"The president expressed regret for the loss of Israeli and Palestinian civilian lives, and underscored the importance of resolving the situation as quickly as possible to restore stability and prevent further loss of life," said a summary of that call, which was initiated by Obama.
