The ceasefire agreement between Israel and Palestinian militant group Hamas in Gaza reduces the risks to Israel's public finances and could improve its sovereign credit rating, the major credit rating agencies said on Tuesday.

In the days since a fragile ceasefire took hold in the Gaza Strip, Israel has launched a major military operation in the occupied West Bank and suspected Jewish settlers have rampaged through two Palestinian towns.

The ceasefire agreement, reached with Hamas, provides for the swap of Israeli hostages for Palestinian prisoners and a surge of humanitarian aid into Gaza.

The Israeli military said Wednesday its soldiers killed an alleged militant in Gaza whom it said posed a threat to its forces, as the ceasefire between Israel and Hamas stretched into a fourth day. It appeared to be the first time since the ceasefire began Sunday that the Israeli military said it struck targets in Gaza.

The Israel-Hamas ceasefire appears to be holding as many Palestinians venture to where their homes once stood to dig in the rubble. CBS News' Elizabeth Palmer reports.

Even surrounded by death, Gaza surged back to life as the ceasefire came into effect. Street markets re-opened, buzzing with activity as about two million residents tried to return to their homes and pick up the pieces.