Israel and Gaza reach ceasefire agreement

Palestinian officials say a ceasefire agreement has been reached with Israel to end a surge of violence in the Gaza Strip and southern Israel that has led to the deaths of at least 25 Palestinians and four Israelis.

No Israeli air raids on the Palestinian territory have been reported since the deal came into effect.

The officials said Egypt and Qatar helped mediate an end to days of attacks between Gaza and Israel.

There was no confirmation from the Israeli side. However, the Israeli army early on Monday lifted all protective restrictions imposed near the Gaza area during the weekend's flare-up.

The Home Front Command instructed residents of the south to return to their routines.

The Israeli Transportation Ministry announced that all public bus routes in the south would return to full and normal operation. The railway line between the cities of Ashkelon and Beersheba was also set to resume later in the morning.

On Sunday, Israeli Prime Minister Benjamin Netanyahu had ordered "massive strikes" on the Gaza Strip after a two-day escalation in which Israeli warplanes and gunboats targeted Gaza as fighters in the besieged enclave fired a barrage of rockets into southern Israel.

A 34-year-old Hamas commander was killed on Sunday in what the Israeli military described as a targeted strike.

An army statement accused Hamad al-Khodori of "transferring large sums of money" from Iran to armed factions in Gaza.

Other Palestinian victims included two pregnant women and two infants. In Beit Lahiya, a town in the northern Gaza Strip, an Israeli air raid hit a residential building, killing a four-month-old baby and her father.

A 12-year-old boy, Abdelrahman Abu al-Jadyan, was also killed in the same attack. The bodies of his parents, Talal and Raghda, were recovered under the rubble on Monday, bringing the death toll in the Gaza Strip to 25 killed.

In the Israeli city of Ashkelon, a 58-year-old Israeli man was killed after being struck by shrapnel from a rocket attack. Two other Israelis, critically wounded in a separate rocket attack on a factory on Sunday afternoon, later died.

Around two million Palestinians live in Gaza, the economy of which has suffered years of Israeli and Egyptian blockades as well as recent foreign aid cuts and sanctions by the Palestinian Authority, Hamas' West Bank-based rival.

Israel said its blockade was necessary to stop weapons reaching Hamas, with which it has fought three wars since the group seized control of Gaza in 2007, two years after Israel withdrew its settlers and troops from the area.