* Key powers back Abbas government Key international powers have publicly backed the new Palestinian Authority government, offering aid and support to an administration without Hamas.

* Lebanese forces battle militants The Lebanese army has resumed shelling a besieged Palestinian refugee camp, a day after it said important militant positions had been destroyed.

* U.S. and Iraqi Troops Begin Big Offensive American and Iraqi troops began major military operations north and south of Baghdad today, while deep in the south near the Iranian border, a ferocious battle between American troops and Shiite militants left at least 20 dead and wounded scores more, Iraqi and American officials.

* Barak sworn in as defense minister; Peretz says goodbye Newly-appointed Defense Minister Ehud Barak was sworn in at the Knesset Monday evening, taking the reins from outgoing Amir Peretz.

* Abbas to Bush: Now is time to resume peace talks Palestinian Authority Chairman Mahmoud Abbas told U.S. President George W. Bush in a phone call Monday that now is the time to resume Middle East peace talks, Abbas’ spokesman said.

* Push for Blair as new EU president Tony Blair, the British prime minister, could end up swapping Downing Street for a job as the first full-time European Union president, under a plan being actively touted by Nicolas Sarkozy, the French president.

* EU to resume Palestinian aid The EU is to resume direct aid to the new Palestinian emergency government, said Javier Solana, the EU’s foreign policy chief, ending its 15-month aid embargo following Hamas’s election victory.

* Jerusalem Police Stand Firm on Gay Parade for Thursday Protestors hurled rocks at an Egged bus Monday morning in the Jerusalem neighborhood of Ramot, damaging the vehicle. No one was injured.

* We must unite against Hamas, Livni tells Arab paper In optimistic article published in Arab world’s leading newspaper, foreign minister writes, ‘Israel has a strong interest to find a stable and prosperous Palestinian partner’; says Israel was wrong for not cooperating sufficiently with regional elements ‘in order to help us build Israeli-Palestinian peace’.

* EU treaty rifts remain after deal on name and symbols EU foreign ministers have agreed on how the new EU treaty should be presented – it should not be called a constitution, and not contain symbols such as an EU flag – but key divisions on the substance of the text remain unresolved.