US Secretary of State Colin Powell discussed a possible interim Palestinian state and other peace ideas with Arab leaders in Washington as US officials cautiously welcomed a promise by the Palestinians’ new security chief to curb attacks on Israelis.

Still pressing for a ceasefire, US Secretary of State Colin Powell is to hold at least one more round of talks with Israeli Prime Minister Ariel Sharon and Palestinian leader Yasser Arafat.

The Palestine Liberation Organization has been evicted from its downtown Washington office for failure to pay rent.

Yasser Arafat has reportedly accepted Bill Clinton's formula for a negotiated settlement with Israel.

Bill Clinton is refusing to abandon the Middle East peace effort, and is planning further talks with Palestinian, Israeli and Arab leaders.