JERUSALEM -- Palestinian negotiators drafting an agreement behind the scenes with Prime Minister Ehud Olmert's office have made clear they will not accept any final peace deal with Israel unless the Jewish state forfeits the Temple Mount, Judaism's holiest site, WND has learned.

According to a report in Israel's Yediot Aharonot daily yesterday, Olmert is willing to discuss joint Israeli-Palestinian control over the Temple Mount complex. The report didn't state the positions of the Palestinian side on the issue.

A chief Palestinian negotiator, speaking to WND on condition his name be withheld, said yesterday, "there can be no agreement with Israel unless we get complete sovereignty of the Mount. Once Palestinian control over the [Temple Mount] is fixed, then we will make assurances for Jewish visits to the site."

The chief negotiator said aides from Palestinian Authority President Mahmoud Abbas' Fatah organization have been hammering out the parameters of a final status agreement for presentation in November at a U.S.-backed international summit regarding the Middle East.

Asked by WND whether Olmert is willing to forfeit the Temple Mount in an agreement with the Palestinians, David Baker, a spokesman for the prime minister, had no comment. The Temple Mount is the holiest site in Judaism. Muslims say it is their third holiest site

The blaze forced hundreds of residents in the city's affluent northern suburbs to flee and triggered a series of power cuts that lasted for hours. At least 10 people were taken to hospital with breathing problems while one firefighter was also injured.

Gale force winds prevented airplanes joining the fire fighting operations earlier in the day, allowing it to get out of control, the fire brigade said. Fire brigade officer Nikolaos Diamantis told a news conference: "From 11:00 to 12:30 the airplanes could not operate due to strong winds and thick smoke."

Greece has seen some of the worst fires of the past ten years this summer, caused by record-high temperatures, drought and arsonists. In late June, the biggest national park near the city, on Mount Parnitha, burned for three days leaving more than a third of the nature reserve charred.

Approximately 4,000 children have participated in the camps, which operate under the slogan "Jerusalem and Al-Aksa, the symbol of our unity, strength, and honor."

Khaled Mahamid, who runs the camps, explained that his goal was to educate Muslim children "to be connected to the Al Aksa Mosque and to protect it with their bodies." The camps "are the most important thing in dealing with the schemes against Al Aksa," he said.

Tens of thousands of people fled their homes and thronged the streets to avoid crashing masonry as the magnitude 8 earthquake rocked the towns of Pisco, Ica and Chincha. In Ica a church collapsed during a service, killing at least four worshippers and injuring dozens, while many people were killed in their homes as roofs collapsed in the nearby town of Pisco.

Buildings collapsed, roads were ripped apart and electricity lines were brought down. The death toll was expected to rise as many families were believed to have been buried in the rubble of their homes.

Royal Dutch Shell said it was shutting down a well that produces 5m cubic feet of gas a day, and evacuating non-essential personnel from facilities on the Texas coast. Other energy companies operating in the Gulf, which accounts for around a third of US domestic oil and gas production, said they were monitoring the situation.

TROPICAL STORM ERIN WAS NAMED IN THE CARIBBEAN AND IS EXPECTED TO HIT THE COAST OF TEXAS LATER THIS WEEK. It is not expected to grow to hurricane strength and damage is likely to be minimal. However, OIL TRADERS WERE PAYING MORE ATTENTION TO TROPICAL STORM DEAN, WHICH HAS FORMED IN THE MID-ATLANTIC AND COULD ENTER THE GULF AS A CATEGORY THREE HURRICANE OVER THE WEEKEND.

The potential threat, coupled with a fall in US oil and gas inventories, sent US crude $1.35 higher to $73.63 a barrel in early trading on the New York Mercantile Exchange with similar gains seen for Brent crude in London.

Oil prices had been on the way down in recent days as oil cartel Opec warned that the reduced growth forecasts for the world economy as a result of the sub-prime lending crisis and ongoing credit crunch could hit oil consumption.

While US shares were falling still further in early Wall Street trading, London's FTSE 100 ended the day down 4.1% or 250 points at 5,859. This is the FTSE's biggest one-day percentage fall since March 2003. The falls came despite the Federal Reserve pumping an extra $17bn ($8.6bn) into the US banking system. CENTRAL BANKS HAVE BEEN TAKING SUCH ACTION TO TRY TO RESTORE CONFIDENCE AND AVOID A CREDIT SQUEEZE.

Over the past week, the Fed has now injected $88bn (£44.3bn), while the European Central Bank has put up 211bn euros ($283.2bn; £142.6bn). However, investors appear to remain unconvinced that the action of the central banks will be enough, and MORE THAN £100BN HAS NOW BEEN WIPED OFF THE VALUE OF THE UK'S LEADING SHARES ALONE SINCE LAST WEDNESDAY.

In New York, the Dow Jones index of top US shares was down 1.3% to 12,700 in morning trading, while the Nasdaq had lost 1.2% to 2,430. Back in Europe, Germany's Dax ended down 2.4% to 7,270 and France's Cac lost 3.3% to 5,265.

The recent financial market volatility has been triggered by the US sub-prime mortgage sector, which offers higher-risk loans to people with a poor credit history. WHILE SOME ESTIMATES SAY $300BN IN LOANS COULD BE AT RISK, ONE OF THE BIGGEST WORRIES FOR INVESTORS IS NOT KNOWING THE EVENTUAL SCALE OF THE PROBLEM.

"The problems in the sub-prime mortgage market will linger on for a while," said Bart Ingels, an analyst at Fortis Bank, in Brussels. "SOME DAYS IT WAS A LITTLE BIT BETTER BUT THEN NEGATIVE NEWS CAME TO THE FORE, AND IT WILL GO ON LIKE THAT FOR A WHILE."

Open Europe today publishes the first comparative text of the new Constitutional Treaty, and a new guide to what it means. THE OFFICIAL VERSION OF THE TREATY IS ALMOST UNREADABLE as it takes the form of a series of amendments to the existing treaties, without reproducing the existing text which they will alter. IN OTHER WORDS, THE NEW VERSION CONTAINS ONLY THE 'ACTIVE INGREDIENTS' - THE CHANGES WHICH WERE PROPOSED BY THE ORIGINAL CONSTITUTION. THIS IS INTENDED TO MAKE IT UNREADABLE.

Open Europe is now publishing a consolidated text which shows how it would change the treaties. We also reproduce the text of the original version of the Constitution alongside this. AS THE COMPARATIVE TEXT SHOWS, THE NEW TREATY ALTERS THE EXISTING TREATIES TO BRING THEM INTO LINE WITH THE REJECTED EUROPEAN CONSTITUTION. It also reveals that the revised Constitution is the exact same length as the original Constitution.

Open Europe's guide argues that the Government's claims that the UK has signed up to a 'different' version of the treaty are misleading, as the present British 'red lines' are the same as those for the original Constitution. THE GUIDE GIVES AN OVERVIEW OF THE MAIN CHANGES BROUGHT ABOUT BY THE REVISED CONSTITUTION, IN AREAS RANGING FROM FOREIGN POLICY TO JUSTICE AND HOME AFFAIRS.

To read the text, go to:- www.openeurope.org.uk

He pointed towards the passage in the revised Constitution which says, "Those Member States which sit on the Security Council shall request that the High Representative be asked to present the Union's position."

He said, "It's become increasingly clear that everything that was said about the new constitution has turned out to be a lie. The new treaty makes clear that Britain will have to give up its seat on the Security Council on issues where the EU has taken a common position. This is an extraordinary surrender of national sovereignty."

SNP leader Alex Salmond tabled a paper in Edinburgh on what he called a "new chapter in Scottish politics."
He called for a "national conversation" towards a referendum that would offer either the political status quo, more powers for Scottish parliament or complete independence. However, UK media report that the final outcome is likely to be a compromise allowing more powers to the Scottish parliament.

Mr Salmond has power as he is the first minister in the Scottish parliament but his party does not have a majority. Most of the other MPs in the parliament are not in favour of full independence while support among the public for the idea is around 30 percent. The topic is a hot issue in Scotland however, which has been in union with England for 300 years but which continues to have a separate legal system.

At the moment, Scottish parliament has some say on education and health but defence and foreign policy are dealt with by Westminster. If the Scots were ever to vote in favour of independence, it would raise certain legal questions for the EU such as whether it would have to formally apply for membership and whether it would be legally obliged to join the euro - an obligation for all new EU entrants.

Other questions like its voting weight for taking decisions and the issue of a possible Scottish commissioner would also have to be worked out. Such a scenario would likely also fuel other regions in Europe such as Spain's Catalonia.

The tropical cyclone, which has intensified into a category 5 super typhoon, brought the Philippine capital to a near standstill on Wednesday as it exacerbated monsoon rains, causing flooding chest-deep in places. Taiwan issued a sea warning and told local fishermen to return to port as the storm gathered strength and moved towards its coast.

Sepat, which is currently about 500 km (310 miles) northeast of the Philippines, is expected to reach southern Taiwan on Saturday morning as a category 4 typhoon, according to the British-based Web site Tropical Storm Risk (www.tropicalstormrisk.com).

Major roads outside Manila remained flooded with water up to 5 feet (1.5 metres) deep in places and officials in the neighbouring province of Rizal ordered the evacuation of around 100 people after a landslide. Disaster officials have warned small fishing boats to stay in port and have also cautioned residents of coastal areas about big waves and storm surges.

Hundreds of people have also been sent to hospital due to heat-related illnesses and injuries. The mercury shot up to a record 40.9 degrees Celsius (106 degrees Fahrenheit) in Tajimi city in the central prefecture of Gifu on Thursday afternoon, according to the weather agency. The reading eclipsed the previous highest temperature recorded in Japan of 40.8 degrees set in northern Yamagata prefecture in 1933.

Hu said China is keen on resolving the nuclear issue through peaceful negotiations. He said China understands Iran's concerns but hopes the country shows flexibility for the peaceful settlement of the issue.

Ahmadinejad said that Iran will not go beyond international laws and regulations of the International Atomic Energy Agency (IAEA) in using nuclear energy. Ahmadinejad said Iran will continue to work with China to develop bilateral ties and expand cooperation in economy and trade, energy, culture, sports and science.

Iran is one of four observers at the SCO. The other three are India, Pakistan and Mongolia.

The FTSE 100 was down another 100 points at one stage before better-than-expected inflation figures in the US fuelled hopes of an interest-rate cut next month by the mighty US Federal Reserve. While this pushed Wall Street higher in opening trade, volatility is keeping the financial sector on a knife edge.

Concerns have now switched to the huge market in commercial loans across the board. At least five issuers of such loans or "asset-backed commercial paper" - a mix of mortgage loans, credit-card debt and some business loans - have had trouble refinancing that debt when it matured, forcing them to make investors wait for repayment.

Josh Rosner, an analyst at independent research firm Graham Fisher in New York, said: "Asset-backed commercial paper [ABP] problems could be much worse than what we saw in the subprime market." Investment managers' inability to tell whether the ABP they have taken on - the money they have loaned - is "safe" has fuelled the flight of confidence and added to the "perfect storm" in markets.

Household names in the US such as Wal-Mart and Home Depot have already warned of a fall in business. But analysts fear this could mark the start of a much bigger slowdown.

"At the moment we have the figure of 48 dead and 350 injured," Carlos Cordova, chief of Peru's fire department, told Channel 5 television. Peru's highly respected Cable news station Canal N reported that the quake had caused a church to collapse in the city of Ica south of Lima, killing 17 people and injuring 70.

He said he was sending three Cabinet members, including the health minister, to the coastal towns of Chincha and Ica, where the quake is reported to have hit the hardest.

Duaa Khalil Aswad, 17, was "executed" by members of the Kurdish Yazidi sect for falling in love with a Sunni Muslim. Horrifying videos of her slow and agonising death have been posted on the Internet. By last night, the confirmed death toll had passed 250, making it the bloodiest atrocity in Iraq since the U.S.-led invasion in 2003.

The Yazidis are an ancient sect who worship an angel figure which some Muslims and Christians consider to be the devil. They have been the target of a series of murderous attacks since Duaa's death. The teenager was said to have converted to Islam before running away with her Sunni boyfriend.