Thousands of singing and dancing protesters streamed back into Manama’s central Pearl Square today after Bahrain’s leaders withdrew tanks and riot police following a bloody crackdown by security forces in the tiny monarchy.

A HAMAS leader has said the militant group could accept creation of a Palestinian state in the West Bank and Gaza and a long-term truce with Israel, signalling a possible new overture to end hostilities.

Hamas has ordered a halt to suicide bombings and mortar attacks on Israel.

Palestinian and Israeli security commanders have resumed their meetings, signalling a softening of an Israeli policy breaking off contact with the Palestinian Authority after a string of suicide attacks.