Pro-Russian insurgents last week retreated from the strategic city of Slovyansk and holed up in Donetsk, a city of one million, and potentially the final frontier for the rebels. The overnight artillery strike in Maryinka, a western suburb of Donetsk, hit four apartment blocks near a rebel base. It was unclear, however, which side fired at the buildings.
"Even the fascists didn't do what they did. So many peaceful citizens," said a resident who gave her name as Valentina Mikhailovna. "Look what's happening! Dead, dead, dead people!"
AP journalists heard outgoing mortar fire from the area at noon today, suggesting that the rebels sometimes fire at the troops from the residential area, prompting Ukrainian forces to return fire.
Fighting between the rebels and government troops has left more than 400 dead and tens of thousands have fled their homes, in many cases crossing the border into Russia.
More From This Section
The rhetoric on both sides is increasingly intransigent.
The attack in Donetsk came hours after Ukraine's president, Petro Poroshenko, vowed vengeance for the deaths of 19 troops in an insurgent rocket attack near the Russian border.
Meanwhile, the European Union moved to impose sanctions on 11 leaders of the pro-Moscow rebellion.
Targets of the asset freeze and travel ban included two Russian spin doctors, Alexander Borodai, prime minister of the separatist Donetsk People's Republic, and his counterpart in the Luhansk People's Republic, Marat Bashirov.