Story Highlights• NEW: Palestinian rocket attack kills Israeli woman in Sderot
• Four Islamic Jihad militants killed in strike on car, Palestinian sources say
• Israel Defense Forces: More than 160 rockets fired on Israel in past week
• Israel's prime minister threatens "to intensify our response"
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GAZA CITY (CNN) -- An Israeli airstrike on Monday hit a car carrying Islamic Jihad militants in northern Gaza, killing four, Palestinian security sources said.
An Israeli army spokesman confirmed the military targeted a car carrying Islamic Jihad militants, but he had no information on casualties.
The Israel Defense Forces said the militants were involved in making Qassam rockets, which have pounded Israel in recent days, prompting the airstrikes.
According to the IDF, more than 160 rockets have been fired on Israel over the past week -- most of them resulting in minor casualties.
But an Israeli woman was killed Monday when a rocket struck the car she was riding in in the Israeli city of Sderot.
The IDF said it carried out four overnight airstrikes "against terrorist targets" in Gaza, including a truck in a Hamas weapons-production facility in Gaza City; two weapons-storage facilities for Islamic Jihad, one in Gaza City and one in central Gaza; and a Hamas terrorist in Gaza City. (Watch the aftermath of an Israeli strike )
Palestinian security sources said one of the pre-dawn strikes in Gaza City hit a metal workshop, killing one man.
On Sunday, Israeli strikes in Gaza killed at least 10 Palestinians, Palestinian security sources said.
Israeli Prime Minister Ehud Olmert said Sunday that "if the measured steps we are taking on the diplomatic front and on the military front don't bring the desired calm, we will be forced to intensify our response."
Olmert's remarks came at the start of his weekly Cabinet meeting.
In addition, an IDF statement said Defense Minister Amir Peretz deemed the area surrounding Gaza a "special situation," granting the military the power to decide whether to close schools or other public places.
The move was made, the IDF said, in response "to the continuing attacks on the civilians in and around the Gaza Strip that will likely continue."
Palestinians have accused Israel of taking advantage of internal Hamas-Fatah fighting to stage the airstrikes.
The two Palestinian factions began their latest cease-fire at 3 p.m. Saturday -- the fifth such attempt at peace in a week.
CNN's Shira Medding contributed to this report