Israel marked the second anniversary of the Hamas-led attack on southern Israel as proximity talks with Hamas continued for a second day, aimed at finalising a Gaza ceasefire and hostage release deal.
Hamas said on Tuesday it wanted to reach a deal to end the war in Gaza based on US president Donald Trump’s plan but still has a set of demands, a statement signalling that indirect talks with Israel in Egypt could be difficult and lengthy.
Mr Trump, meanwhile, expressed optimism about progress towards a deal. “I think there’s a possibility that we could have peace in the Middle East” beyond just Gaza, he told reporters.
The talks appear the most promising yet for ending a war that has killed tens of thousands of Palestinians and devastated Gaza since the October 7th, 2023 attack on Israel, in which 1,200 people were killed and 251 were taken back to Gaza as hostages.
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Israel has since killed more than 67,000 Palestinians, according to Gaza health authorities.
Officials on all sides urged caution over the prospects for a rapid agreement, as Israelis remembered the bloodiest single day for Jews since the Holocaust and Gazans voiced hope for an end to the suffering brought by two years of war.


While the Israeli government is due to mark the October 7th anniversary on the Jewish calendar date later this month, many events were held across the country on Tuesday.
Protesters stood in silence as sirens sounded in dozens of communities.
Hundreds of demonstrators also gathered outside the homes of ministers and parliamentarians from prime minister Binyamin Netanyahu’s ruling Likud party urging them to end the war and bring the 48 hostages – 20 of whom are believed to be alive – home after more than 700 days in captivity.
“For us, and for the people of Israel who have taken to the streets week after week for two years, each of these 48 souls is a world unto themselves,” said the Hostages and Missing Families forum in a statement on Tuesday.
Others called for a state commission of inquiry over the intelligence and military failures on and before October 7th – a demand that Mr Netanyahu has stubbornly refused.
World leaders also marked the anniversary, calling for remembrance, the release of hostages and urgent steps towards a ceasefire.
In a letter sent to the Hostages and Missing Families forum, Mr Trump said: “I am determined to bring the hostages home and ensure the complete destruction of Hamas.”

US secretary of state Marco Rubio issued a statement saying Mr Trump’s plan to bring about a ceasefire and “build a foundation for lasting peace and security for all”.
US special envoys Steve Witkoff and Mr Trump’s son-in-law Jared Kushner will join the ceasefire talks on Wednesday in a push to finalise an agreement.
According to one American source the two US mediators will not leave Egypt without an agreement and Washington may draw up a “take it or leave it” draft if Israel and Hamas cannot reach agreement on key points.
Israel’s chief negotiator, Ron Dermer, will also join the talks on Wednesday.
Israel is hoping that a prisoner release can take place at the weekend if the ceasefire talks are successful. An Israeli source talked of “cautious progress” and a “genuine desire by both sides” to narrow the gaps but cautioned that many obstacles remain.
In the latest violence, residents of Khan Younis in southern Gaza and Gaza City in the north reported new attacks by Israeli tanks, planes and boats in the early hours on Tuesday.
The Israeli military said militants in Gaza fired rockets into Israel, setting off air raid sirens at Israeli kibbutz Netiv Haasara, and that Israeli troops continued to tackle gunmen inside the enclave. – Additional reporting Reuters