THOUSANDS of Palestinians carried bodies draped in yellow flags through pouring rain yesterday in a funeral procession for seven Fatah members killed by Hamas gunmen. Fatah said it was suspending talks with its rival until the assailants were brought to justice.

The Palestinian president and prime minister, locked in a violent power struggle, today agreed to pull back their forces, after a senior security commander and four of his bodyguards were killed in one of the bloodiest battles in weeks of internal fighting.