Middle East talks break down

Palestinians pledged new efforts yesterday to coax militants into a ceasefire with Israel after talks in Cairo broke down, undercutting Prime Minister Ahmed Qurie.

Israeli Prime Minister Ariel Sharon said in Tel Aviv he would not rule out taking "unilateral steps" if the Palestinians failed to "liquidate terrorist groups", but did not elaborate.

Palestinian officials said the militants' rejection of Egypt's proposal for a total ceasefire weakened Qurie's position ahead of any summit with Sharon on core political issues such as Jewish settlements in the West Bank.