Israeli forces pulling out of Palestinian town of Beit Jalla

Israeli forces have began pulling out of the Palestinian town of Beit Jalla.

Israeli forces have begun pulling out of the Palestinian town of Beit Jalla.

The pullout began two days after Israeli tanks and troops entered the village.

This follows a heavy exchange of fire between Palestinian gunmen in the city and the Jewish neighbourhood of Gilo, across a valley in a disputed part of Jerusalem.

The pullout follows a meeting of top Israeli Cabinet ministers in Jerusalem, including Prime Minister Ariel Sharon, Defence Minister Shimon Peres and Defence Minister Binyamin Ben-Eliezer.

During the day before, Peres had been engaged in intensive contacts, aimed at stopping the gunfire and pulling Israeli forces out of the town. US Secretary of State Colin Powell talked with Peres and Palestinian leader Yasser Arafat, and Peres and Arafat talked several times on the telephone.

Witnesses said Israeli tanks and armoured personnel carriers were heading out of Beit Jalla, after exchanges of gunfire stopped.

During the two days Israeli forces held positions in the town, Palestinian gunners continued to target Gilo, a Jewish neighbourhood built on land captured by Israel in the 1967 war and annexed to Jerusalem.