The Middle East is on edge tonight after a missile fired by Hezbollah fighters at a military convoy killed two Israeli soldiers.
It is the Islamic Militant group's most deadly attack on Israeli forces since their five week war nearly a decade ago.
Israel has promised to do whatever it takes to defend itself.
ITV News Correspondent Dan Rivers reports:
The United States has condemned the deadly attack by Hezbollah on an Israeli military convoy that killed two Israeli soldiers, and urged both sides to "refrain from actions that could escalate the situation", according to Reuters.
"We urge all parties to refrain from any action that could escalate the situation," State Department spokeswoman Jen Psaki told a daily briefing.
A Spanish UN peacekeeper was also killed, but it is not yet known which side is responsible for his death, a UN spokesperson said.
The Spanish Prime Minister has expressed his "deepest sympathy" to the family of the Spanish UN peacekeeper who was killed during fighting near the Israeli/Lebanese border earlier today.
In a Spanish-language tweet, Mariano Rajoy Brey said: "My deepest sympathy on the death of Spanish military in Lebanon . My love and condolences to his family and companions."
Mi más profundo pesar por el fallecimiento del militar español en #Líbano. Mi afecto y condolencias a su familia y compañeros. MR
Those responsible for the deadly attack on an Israeli military convoy near southern Lebanon "will pay the full price", the Israeli prime minister Benjamin Netanyahu has said.
Mr Netanyahu was speaking ahead of consultations with Israeli security chiefs on further military response to the Hezbollah assault.
The United Nations peacekeeper killed in southern Lebanon today was Spanish, Associated Press has reported.
Zeina Karam, AP's Beruit Bureau Chief says that the Israeli ambassador has called Spain's foreign minister today offering condolences for the death of the UN peacekeeper.
The peacekeeper, serving with a UN monitoring force in southern Lebanon, was killed as Israel responded with air strikes and artillery fire, a UN spokesman and Spanish officials said.
Lebanon has said that it is still committed to the UN resolution that ended a war between Israel and Hezbollah in 2006.
"The Lebanon reaffirms its commitment to Security Council resolution 1701," Prime Minister Tammam Salam said in a statement published by Lebanon's National News Agency, according to Reuters.
Salam's comments come in the aftermath of a Lebanese Hezbollah group attack on anIsraeli military convoy, which prompted retaliation from Israeli security forces.
Two Israeli soldiers were killed in the Hezbollah attack, Israeli military have said.
A military statement said seven soldiers were also wounded in the attack on a convoy near the Lebanon border.
A UN peacekeeper has been killed in Lebanon although it is not clear if it is linked to clashes between the country and Israel.
The death was confirmed by a UN spokesman and the organisation said they were "looking into the circumstances of the tragic incident".
Andrea Tenenti, spokesman for the United Nations Interim Force in Lebanon, said the incident happened close to the Israeli-occupied Shebaa Farms area.
Lebanese Hezbollah group fired a missile at an Isreali military convoy, prompting retaliation.
No Israeli soldier has been captured by Hezbollah, according to a source who has spoken to Reuters.
Lieutenant-Colonel Peter Lerner, an Israeli military spokesman, said: "The rumour of abduction has been ruled out."
He made the statement after Lebanon's national news agency reported that a soldier had been seized.
The Lebanese Hezbollah group has said it fired a missile at an Israeli military convoy, prompting retaliation from Israel, in a significant escalation along the volatile border, Associated Press reports.
Hezbollah said its fighters destroyed a number of vehicles carrying Israeli officers and soldiers and caused casualties among "enemy ranks".
The Israeli military said an anti-tank missile hit a military vehicle near the Lebanese border. It did not immediately report any casualties, and said residents of the area had been ordered to remain in their homes.