British SAS troops in Afghanistan have reportedly been fired on by Taleban forces, as the United States steps up its biggest military mobilisation since the 1991 Gulf War.
The Sunday Times in London said a four-man SAS team on a covert mission to find terrorist leader Osama bin Laden encountered Taleban troops near Kabul on Saturday. The Afghans fired wildly before fleeing.
The CIA and the Pentagon have refused to comment on earlier Taleban claims that they shot down an unmanned spy plane in northern Afghanistan, and a helicopter flying in support of an anti-Taleban attack.
As the build-up against Afghanistan continued yesterday
* President George W. Bush waived sanctions against Pakistan and India in return for their help in the hunt for bin Laden.
* US officials said 550 warplanes - up from the 350 now deployed - would be sent to the Gulf.
* Time magazine reported that a cropdusting manual found in a terrorist hideout raised the possibility that the terrorists were planning a biochemical assault from the air.
* A Japanese news agency claimed the United States had warned its allies of an even worse attack by the end of this week than the September 11 hijackings which killed more than 6800.
* Pope John Paul made a dramatic appeal against the drift to war, saying: "With all my heart, I beg God to keep the world in peace."
Aid agencies have warned that, even without a military attack, Afghanistan will run out of food, medicine and other essentials in a month as a result of Pakistan and Iran closing their borders.
The Canadian Relief Foundation predicted "a humanitarian disaster" affecting several million people.
One of the 433 Afghani refugees from the Norwegian ship Tampa camped on Nauru told the Herald the refugees felt very sad for both America and their homeland.
"It is the ordinary people of Afghanistan who will suffer."
President Bush warned Afghanistan's Taleban Government last week of retribution unless it handed over bin Laden, regarded as chief suspect in the attacks on the World Trade Center and Pentagon.
But yesterday the Taleban, who call bin Laden a "guest", insisted again that they would hand over the Saudi-born radical only if evidence of his involvement in the attacks was provided. Bin Laden denies he had a hand in the plot.
US officials said President Bush was expected soon to issue an executive order designating specific groups and individuals as "terrorists" in a move designed to lock up their assets in the US and starve them of financial support.
Mr Bush also signed a $US15 billion ($36.8 billion) aid bill to prop up US airlines crippled by costly new security measures and plunging demand for air travel in the wake of the suicide hijackings.
"The terrorists who attacked the United States on September 11 targeted our economy as well as our people," the President said in his weekly radio address.
"They brought down a symbol of American prosperity, but they could not touch its source," he declared in remarks clearly intended to bolster confidence after the worst week for US financial markets since the Great Depression of the 1930s.
The Pentagon activated 5172 more reserve troops for "homeland defence", a day after eight Vietnam-era B-52 heavy bombers began leaving US bases for a Gulf and Indian Ocean build-up within striking distance of Afghanistan.
The assault ship USS Essex left Sasebo naval base in Japan and was expected to head for the Indian Ocean. The aircraft carrier USS Kitty Hawk left its home port near Tokyo on Friday.
Prime Minister Helen Clark said yesterday that New Zealand, which has offered SAS troops, hadnot yet been asked to help.
Former President Bill Clinton confirmed that his Administration had authorised the arrest and, if necessary, the killing of bin Laden but lacked sufficient information to get him.
Government sources have said the Clinton Administration gave the CIA approval to conduct covert operations targeting the Islamic militant, who the US believes masterminded the 1998 bombings of its embassies in Kenya and Tanzania.
In New York, tens of thousands of people are expected to pack the landmark Yankee Stadium for a multi-denominational service to pray for the dead and missing.
Talk show celebrity Oprah Winfrey and actor James Earl Jones will host the "A Prayer for America" event, from 6.30 am today (NZ time). It includes performances by Spanish tenor Placido Domingo and US actress and singer Bette Midler.
Map: Opposing forces in the war against terror
For coverage of the attacks on the United States, see: