An explosion ripped through a car in the southern part of Gaza City (search), killing two people and wounding eight, hospital officials said, in what appeared to be an Israeli air strike.

Witnesses said the targeted vehicle was a small pickup truck with official Palestinian Authority (search) license plates, and bystanders pulled the two bodies, badly burned, from the smoking wreck.

Farmer Issam Abdel Khalim, 42, was driving his donkey cart nearby. "Suddenly there was a flash from the sky and I head an explosion," he said. "My donkey jumped and hit the wall, and I saw the vehicle on fire."

Witnesses said Palestinian security officers pulled two Kalashnikov assault rifles (search) from the vehicle.

Hospital officials said two of the less seriously wounded were children. The dead were not immediately identified.

The Israeli military said it would have no immediate comment.

On Sunday, an Israeli helicopter fired a missile at a car in Gaza City, killing a Hamas (search) militant and wounding six other people.