The two countries, after an eight-year hiatus, are talking about an Israeli withdrawal in exchange for peace.
Saturday's suicide bombings at Kerem Shalom are part of a shift toward the tactics of Lebanon-based Hizbullah, presenting Israel with a new-old dilemma: invade or try to broker a cease-fire.
A series of rocket attacks have spurred calls in the Israeli government for an invasion of Gaza.
The Palestinian attack on Monday has prompted many to say the wall should extend to the border between Israel and Egypt.
Supporters see hope in printing a tale in which enemies make peace.