Fatah and Hamas clashed at Cabinet ministries, universities and security headquarters today in defiance of a truce that was to have calmed the seething Gaza Strip.

Fatah and Hamas gunmen battled each other at universities, a radio station and in streets across the Gaza Strip today with 17 people – including four children - dying before the factions’ leaders announced a cease-fire agreement.

ISRAELI Foreign Minister Shimon Peres said yesterday that the army was prepared to withdraw from two West Bank towns occupied for more than a month as long as Palestinian security forces were ready to take over and prevent attacks against Israel.

Israel’s foreign minister said today that the army was prepared to withdraw from two West Bank towns occupied more than a month ago.