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Militant group has released 50 hostages who include Americans and Israelis and who the group has held since October 7th.
In the deal, Israel has accepted a four day ceasefire during which humanitarian aid will be allowed into Gaza.
In a statement, the US secretary of state Anthony Blinken has hailed Qatar
and Egypt for playing a pivotal role in brokering the truce.
The war between Hamas and Israel has left hundreds dead, Israel cutting of key water and electricity supply lines into Gaza.
The four day ceasefire could be extended if the two sides reach another deal.
Palestinian leadership has accused Israel of crimes against humanity targeting women and children.
On their part, Israel has responded that Hamas was using a human shield to evade the direct line of fire, enabled by their sympathizers in Gaza.
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