Smoke billows from a building struck during an Israeli air strike in Rafah in the southern Gaza Strip, on August 7, 2022. Image Credit: AFP

Gaza City: Israel on Sunday agreed to an Egyptian proposed truce with Palestinian militants in Gaza after three days of intense conflict, an Egyptian source said.

The negotiations raise hopes that Egypt could help broker a deal to end the worst fighting in Gaza since an 11-day war last year.

Since Friday, Israel has carried out heavy aerial and artillery bombardment in Gaza, with the militants firing hundreds of rockets in retaliation.

At least 31 Palestinians have been killed including six children, and 275 people have been wounded since Friday, health authorities said in the enclave where several buildings were reduced to rubble.

Two Israelis have been wounded by shrapnel, and others forced to shelter from a barrage of rockets fired from Gaza.

Egypt's President Abdel Fattah al-Sisi has said officials were talking with both sides "around the clock" to ease the violence. A security source in Cairo said that Israel "has accepted" a ceasefire, adding that Cairo was waiting for the Palestinian response.

A source from Islamic Jihad said that "discussions are underway at the highest levels towards calm", but warned that "the resistance will not stop if the occupation's (Israel) aggression and crimes do not stop".