JERUSALEM (AP) — Prime Minister Ehud Olmert threatened a painful response to Palestinian rocket fire menacing southern Israel, suggesting Sunday that the blistering offensive against Gaza Strip militants fell short of its goals. The prospect of heightened hostilities in Hamas-ruled Gaza cast a pall over a week of crucial diplomatic activity, including an international conference designed to drum up billions of dollars to rebuild the heavily damaged territory. With a new Israeli government to take office within weeks, however, it wasn’t clear how sweeping the country’s response to the rockets would be.——Contact The Daily Reveille’s news staff at [email protected]