An Israeli tank unit has rolled in to take "operational control" of the Gaza side of the crucial Rafah border crossing amid talks for a truce.

The Israeli military said on Tuesday it had taken operational control of the Palestinian side of Gaza's southern Rafah Crossing, which borders Egypt and has been pivotal for the delivery of aid and exit of injured people in the Gaza war.

Israel closed the Kerem Shalom humanitarian crossing into Gaza on Sunday after a rocket barrage was fired by Hamas, as weekend talks on a potential truce broke up inconclusively.

Violence in the southern Gaza city spiked on Sunday after Hamas militants fired rockets from near the Rafah crossing, killing four Israeli soldiers. Israeli fighter jets struck targets in Rafah overnight,

Palestinian Islamist group Hamas said on Monday it had agreed to a three-phased deal for a ceasefire and hostages-for-prisoners swap, although an Israeli official said the deal was not acceptable to Israel because terms had been "softened".

The latest round of Gaza cease-fire talks ended in Cairo after “in-depth and serious discussions,” the Hamas militant group said Sunday, reiterating key demands that Israel again rejected. After earlier signs of progress,

Oil edged up on Tuesday after Israel struck Rafah in Gaza and talks for a ceasefire hung in the balance, maintaining the support that the market has gained from heightened Middle East tensions and risk to supplies.