Israel declared a ceasefire in Gaza and began to pull back its forces on Friday, as tens of thousands of exhausted Palestinians made their way back to their devastated homes.
After two years of brutal war, the families of Israel's remaining hostages in the territory were also hoping the truce -- pushed by US President Donald Trump -- would endure.
Trump himself expressed confidence that the ceasefire would "hold", telling reporters that Israel and Hamas were "all tired of the fighting".
The Israeli military said its troops had halted fire at noon (0900 GMT) "in preparation for the ceasefire agreement and the return of hostages".
Three hours later, the Pentagon confirmed Israel had completed the first phase of a pullback laid out in Trump's peace plan. Israeli forces still hold around 53 percent of the Palestinian territory.
The withdrawal set the clock running on a 72-hour deadline for Hamas to release the remaining hostages held in Gaza.
Israel, meanwhile, published the list of the 250 Palestinian prisoners it plans to release -- along with 1,700 Gazans detained since Hamas triggered the latest conflict with its attack on Israel on October 7, 2023.
As the ceasefire began, long columns of Palestinians, exhausted by two years of intense bombardment and what the UN has warned were famine conditions, began a trek from the southern city of Khan Yunis towards their shattered homes further north.
Rescue workers began retrieving dozens of bodies from vast stretches of debris after the ceasefire took effect.
The EU mission at the Rafah border between Gaza and Egypt will be reopening a pedestrian crossing on October 14, Italy said.
Under the ceasefire deal proposed by Trump, Hamas will hand over 47 remaining hostages -- living and dead -- from the 251 abducted during the October 7 attack two years ago.
The remains of one more hostage, held in Gaza since 2014, are also expected to be returned.
Leaders of Britain, France and Germany urged the UN Security Council to back the plan.
Trump confirmed that he would meet "a lot of leaders" in Egypt on Monday to discuss the future of devastated Gaza, adding that he was confident the ceasefire would lead to wider peace in the Middle East.
- 'Wounds and sorrow' -
As thousands of Palestinians began their journeys home, Hamas, Islamic Jihad and the Popular Front for the Liberation of Palestine (PFLP) said in a joint statement that they had achieved "a setback for (Israel's) goals of displacement and uprooting".
"The negotiation process and the mechanism for implementing the agreement still require high national vigilance and close monitoring around the clock to ensure the success of this stage," the groups said.
"We will continue to work responsibly with the mediators to ensure that the occupation is bound to protect the rights of our people and end their suffering," they added.
Gaza's civil defence agency confirmed that Israeli troops and armoured vehicles were pulling back from forward positions in both Gaza City and Khan Yunis.
But Israel warned some areas were still off-limits and that Palestinians should steer clear of its forces while they were "adjusting operational positions in the Gaza Strip".
Gaza civil defence spokesman Mahmud Bassal said that around 200,000 Palestinians had returned to the north since the ceasefire took effect.
"We're going back to our areas, full of wounds and sorrow, but we thank God for this situation," 32-year-old Ameer Abu Iyadeh told AFP in Khan Yunis.
"I just pray (my home) hasn't been destroyed... We only hope the war will end for good, so we'll never have to flee again," said Mohammed Mortaja, 39, as he headed to his home in Gaza City.
Before dawn on Friday, Israeli Prime Minister Benjamin Netanyahu's office said the government had approved a framework of the hostage-release deal.
"Citizens of Israel, two years ago, the Simhat Torah holiday became a day of national mourning," Netanyahu said, referring to a Jewish festival that begins at nightfall on Monday.
"This Simhat Torah, with God's help, will be a day of national joy, celebrating the return of all our brothers and sisters held hostage," he said.
The family of Alon Ohel, who is among the 20 living hostages due to be released, said they were "overwhelmed with emotion" and eagerly awaiting his return.
"With tears of joy, we received the news that an agreement has been reached," the family said.
- Joy and grief -
Despite celebrations in Israel and Gaza and a flood of congratulatory messages from world leaders, many issues remain unresolved, including Hamas's disarmament and a proposed transitional authority for Gaza led by Trump.
Senior Hamas official Osama Hamdan told Qatar-based broadcaster Al Araby the Palestinian Islamist movement rejects the transitional authority.
Residents of several areas of the Gaza Strip told AFP the Israeli military appeared to have withdrawn from positions it held on Thursday.
Areej Abu Saadaeh, 53, who was displaced early in the conflict, was heading home between smashed piles of rubble and twisted steel, under clouds of cement dust.
"I'm happy about the truce and peace, even though I'm a mother of a son and a daughter who were killed and I grieve for them deeply. Yet, the truce also brings joy: returning to our homes," she said.
