By Alexander Cornwell, Parisa Hafezi and Jeff Mason TEL AVIV/DUBAI/WASHINGTON (Reuters) -Iranian missiles struck Israel's Tel Aviv and the port city of Haifa before dawn on Monday, destroying homes and fuelling concerns among world leaders at this week's G7 meeting that the battle between the two old enemies could lead to a broader regional conflict.

Iran unleashed a barrage of missile strikes on Israeli cities early Monday, after Israel struck military targets deep inside Iran, with both sides threatening further devastation. AFP images showed gutted residential buildings in Tel Aviv and fires smouldering outside the coastal city of Haifa,