Israel is preparing an assault on Palestinian cities, towns and refugee camps, the Washington Postreported today.
Officials told the paper they intend to give ceasefire talks led by US envoy Mr Anthony Zinni a chance to succeed.
But they expressed pessimism that the talks will lead to a lasting end to violence and terrorist attacks against Israelis.
If the talks fail and Palestinian violence continues, there is growing support in Prime Minister Mr Ariel Sharon's government and in the army for what one official said would be a "comprehensive military confrontation" with the Palestinians. He said the attacks would be even more intensive than those earlier this month.
"The next days might be crucial, because if we don't succeed [in the ceasefire talks], we may come to the conclusion that there is no hope, and we have to choose the other way," an Israeli official told the newspaper.
The Postsaid the warnings seem designed to prepare domestic and international public opinion for more bloodshed, and to induce the Palestinians to crack down on militants and agree to Israeli truce terms.
AFP