Talks to reach a Gaza ceasefire and hostage release deal between Israel and Hamas are 90% complete, but key issues remain that need to be bridged, a senior Palestinian official involved in the talks told the BBC.

U.S. officials say both Hamas and Israel are making concessions toward securing a deal, but tempered optimism with differences remaining on key issues.

U.S. and Arab mediators are working around the clock to hammer out a ceasefire deal between Israel and Hamas, sources close to the talks said, while in the Gaza Strip medics said Israeli strikes had killed 44 Palestinians on Thursday.

Israel and Hamas are closing in on an agreement to end more than 14 months of war. But so far, the sides remain unable to seal the deal.