Israel pulled its ground forces out of the southern Gaza Strip on Sunday, in a partial withdrawal six months into the devastating war sparked by the October 7 attacks.

The military said a "significant force" will keep operating elsewhere in the besieged Palestinian territory, able "to conduct precise intelligence based operations".

Meanwhile, Prime Minister Benjamin Netanyahu said Israel was just "one step away from victory" and vowed that there would be no let-up in fighting until Hamas releases all hostages.

Speaking as new truce talks were due to be held in Cairo, he told his cabinet that "there would be no ceasefire without the return of hostages. 

Netanyahu stressed that Israel is ready for a deal, but not ready to surrender".

Reports have it that air strikes kept pounding Khan Yunis and Rafah, as the army said it withdrew its forces from southern Gaza after months of fighting.