Israeli Prime Minister Benjamin Netanyahu and Chairman of the State Camp Benny Gantz on Wednesday agreed on the establishment of an emergency government and a war management cabinet.

The war management cabinet includes the prime minister, the defense minister and the chairman of the state camp. A place in the cabinet will be reserved for the chairman of the opposition if he joins.

During the war period, no bills or government decisions will be promoted that do not concern the conduct of the war.

Israel’s Emergency Unity Government will be sworn in Thursday at 6 p.m. local time.

-ABC News' Will Gretsky and Jordana Miller

Fighting is ongoing between Israeli forces and Hamas militants in southern Israel. Meanwhile, Israel and Hezbollah are openly exchanging fire at the northern border.

The Israel Defense Forces said the area of the Gaza Division has been declared a closed military zone and reiterated that entry is strictly prohibited.

The Rafah border crossing between Egypt and the Gaza Strip remained closed for the second day in a row on Wednesday. The crossing was shut indefinitely on Tuesday after it was hit by Israeli warplanes on the Palestinian side three times on Monday and Tuesday.

The State Department expects that the number of confirmed dead Americans will rise on Wednesday, State Department spokesperson Matt Miller said on CNN.

"We continue to work through the list of unaccounted and find that, obviously, some of those we will locate or will report in, some of them we do find, unfortunately, they're deceased, and then others we are able to confirm are taken hostage,” Miller said. “It's a moving target all the time."

-ABC News' Shannon Crawford

A barrage of rockets has landed on the Israeli city of Ashkelon on Wednesday morning.

Ashkelon, with a population of over 100,000 people, has essentially been a ghost town since the start of the incursion from Hamas over the weekend.

There have been no immediate reports of injuries or deaths in the aftermath of the attack.

-ABC News’ Matt Gutman

The blockade of supplies into Gaza continues, according to a spokeswoman for the United Nations Relief and Works Agency.

"No fuel, no food, no water, and no other kind of aid," Juliette Touma, the spokeswoman for the UNRWA, said in a statement.

The UNRWA also estimated the number of displaced people in Gaza at 1 million people and denied reports of fuel entering through Rafah.