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The latest escalation comes a day after it hit Houthi targets Hodeidah port.
While tanks withdrew from some areas, Israeli snipers and tanks continued to control some high ground.
Palestinians have reacted cautiously ahead of Israel's response saying they're exhausted and can't stand more setbacks and disappointments.
The latest casualties bring the total Palestinian death toll to 37,834, with 86,858 injuries reported since the outbreak of the Palestinian-Israeli conflict.
The military has claimed that the "conduct of the forces in the video of the incident does not conform to the values" of the Israeli military.
Israel's air and ground offensive has killed more than 37,400 people in the Hamas-ruled Palestinian territory, according to health authorities there.
The announcement also comes on the eve of the Muslim holiday of Eid al-Adha.
Russia abstained from the UN vote, while the remaining 14 Security Council members voted in favour.
Hamas and Palestinian Islamic Jihad will also be listed, said a diplomatic source, speaking on condition of anonymity.
Israel's ground and air campaign in Gaza killed more than 36,000 people, mostly civilians.