A ceasefire is due to be announced between Hamas and Israel following exchanges of fire along the border with the Gaza Strip, the BBC understands.
A source with the militant Palestinian group said a truce had been brokered by Egyptian intelligence officials.
Scores of rockets from Gaza have hit southern Israel in recent days and Israel has responded with air strikes.
Meanwhile, tensions are high in East Jerusalem ahead of the planned funeral of a murdered Palestinian teenager.
There have already been two days of clashes there between masked Palestinians and police over the kidnap and murder of 17-year-old Mohammed Abu Khdair.
The motive for his killing has not been confirmed but there are claims it was an act of revenge for the recent murders of three Israeli teenagers in the West Bank.
The funeral has already been delayed, adding to the tension, BBC informs.
