With the first phase of the truce set to expire Saturday, Israel and Hamas appear far from reaching an agreement to proceed to the second, decisive phase.

Israel and Hamas have reached an agreement to exchange the bodies of four hostages for the release of hundreds of Palestinian prisoners, an Israeli source told CNN, indicating the fragile Gaza ceasefire remains intact for now.

Israel is seeking an indefinite extension to the first phase of the ceasefire in Gaza rather than moving to a planned second stage designed to lay the groundwork for a more lasting settlement, several people familiar with the matter have said.