Hours earlier, air raid sirens sounded in Tel Aviv, Herzliya and Petah Tikva.
However, the barrage – which Hamas said was in response to the “massacre of civilians” – only caused minor damage. Two people suffered minor injuries and a house in Herzliya was damaged by shrapnel.
Israel said its attack was aimed at a rocket launcher which had been placed near two mosques.
Despite pleas from the international community, Israel began its assault on southern Gaza three weeks ago.
Benny Gantz, a retired army general and minister without a portfolio in the Netanyahu cabinet, said the latest attacks underlined the need for Israel to press ahead with its onslaught to eliminate Hamas.
According to the United Nations, more than 800,000 Palestinians have already fled Rafah in southern Gaza and a further 1.5 million people have been sheltering elsewhere.
Israel has insisted that it has tried to minimise civilian casualties, partly by designating areas as “humanitarian zones”.
But aid groups allege that Israeli air strikes have hit people sheltering in these zones.
Despite the latest exchanges, negotiations are continuing for a truce which would see the release of the remaining hostages held by Hamas, who were seized on October 7.
The Hamas chief has demanded that the Israeli army withdraw completely from Gaza, but this was again rejected outright by Mr Netanyahu in a statement on Sunday.
His office said: “Sinwar continues to demand the end of the war, the withdrawal of the IDF (army) from the Gaza Strip and leaving Hamas in place, so that it will be able to carry out the atrocities of October 7 again and again”.