AP - President Bush put an optimistic face on fading hopes for Mideast peace Wednesday, declaring that Israel's 60-year triumph over war and tragedy shows democracy can succeed everywhere. But Bush's upbeat message was marred by rocket fire from Gaza and threats of heavy retaliation by Israel.

Reuters - Lebanon's cabinet is likely to cancel measures on Wednesday that angered the Iranian-backed Hezbollah movement and triggered the worst internal conflict since the country's civil war, political sources said.

AFP - US millionaire businessman Morris Talansky who authorities suspect of illegally funding Israeli Prime Minister Ehud Olmert will testify in the investigation on May 25, public radio reported Wednesday.

Reuters - U.S. President George W. Bush backed Lebanon's government and Israeli-Palestinian peace efforts at the start of a Middle East visit on Wednesday in which he praised Israel at 60 as a model for regional democracy.

AP - A rocket fired from Gaza exploded in a shopping center in this southern Israeli city Wednesday, wounding at least 14 people, as President Bush wrapped up talks in Jerusalem with Israel's prime minister.