It seems the Gaza ceasefire is still holding. Next thing would be to extend it to the West Bank - but apparently the Israeli military are against that - IDF warns against W. Bank cease-fire - and as if to underpin that there was a shoot-out in which a young Palestinian militant and a middle-aged woman who apparently went tom help him when he had been shot were killed.

Still the headlines look more hopeful than they have for a longtime - Olmert offers 'serious' plan for new state