CAIRO, Egypt (AP) -- Secretary of State Colin Powell said Thursday he will meet with Palestinian leader Yasser Arafat later this week. He also praised the beginning of an Israeli withdrawal from occupied Palestinian areas, saying he hoped it was "the beginning of the end" of the spiraling violence in the region.
For the first time, Powell said positively that he intends to meet with the Palestinian leader during his peacekeeping trip, as well as with Israeli Prime Minister Ariel Sharon. He said he would talk with both leaders about a truce and political talks leading to creation of a Palestinian state.
As part of a truce settlement, Powell said, "The United States is prepared to put U.S. observers on the ground."
Powell spoke after meeting with Egyptian President Hosni Mubarak, whose help he had sought in persuading Arafat to clamp down on terror against Israel.
"I come here at a difficult time," Powell said, citing "young men and women and children dying on both sides."
With Egyptian Foreign Minister Ahmed Maher at his side, Powell said the United States will "do everything within our power to bring this violence to an end."
Maher said Arafat must be respected as the rightful leader of the Palestinian people.
"Security cannot be achieved through the use of force, but through creation of an environment that is helpful to create confidence between the parties," Maher said.
"Time is of the essence," Powell said.
Powell voiced strong support for having the peace process also include a political leg pointing the way to the ultimate creation of a Palestinian state made up of occupied Palestinian areas. Earlier, the Bush administration had insisted on a cease-fire before such talks commenced.
But, "All of us know we must get to a political track," Powell said.
Powell expressed guarded optimism about the Israeli withdrawal from some areas. But he also noted that there was an increase in bloodshed in other areas, including in the West Bank refugee camp of Jenin.
In the single deadliest incident involving Israeli forces in the past 18 months, 13 Israeli soldiers were killed there Tuesday when they entered a booby-trapped building during an assault on Palestinian militants, according to an Israeli military source.
Powell called on leaders of the Palestinians and Arab nations to do more to end the escalating cycle of suicide bombings.
"I would ask all parties now to speak out against this activity, all Arab leaders. ... This is the time to stop this activity because there is a process ... that will get us where we want ... a state," Powell said.
"Both will have to make hard choices," Powell said of the Israelis and Palestinians.
Earlier, a senior official traveling with Powell on his weeklong peace mission said Mubarak, whose frustrations led him to announce last week that Egypt would limit contacts with Israel, was getting a highly detailed version of same message the secretary has presented to other Arab leaders.
As Powell and Mubarak talked, Egyptian government spokesman Nabil Osman told reporters: "We are very pleased there is a serious American re-engagement" but "we are witnessing the darkest hours in the peace process."
"If there were no occupation, there would be no violence," he said.
In Washington, White House spokesman Ari Fleischer said President Bush is still looking for results from Israelis and Palestinians.
"The president's message remains that both parties -- all parties -- have responsibilities," Fleischer told reporters. "Israel's is withdrawal and to do so now. The Arab nations' responsibilities are to exercise statesmanship and create an environment for peace by condemning terrorism, by stopping the funding of terrorists."
Two Arab leaders, Moroccan King Mohammed VI and Saudi Crown Prince Abdullah pressed Powell Monday to force Israel to withdraw its troops from the West Bank. Although Israelis pulled back from two Palestinian areas, they launched a new attack Tuesday in the southern West Bank.
Egyptian analysts say U.S. ally Mubarak is increasingly frustrated that Washington appears reluctant to push Sharon to stop incursions into Palestinian areas in search of suicide bombers and other militants.
Meantime, State Department spokesman Richard Boucher said Powell will advance his arrival in Jerusalem to late Thursday, rather than Friday. But U.S. officials said that change was unlikely to expand the time Powell will spend with Israel officials.
Powell denied Monday that he was delaying in getting to Jerusalem in order to give Sharon more time on the West Bank. "He's not been getting a free ride," Powell said.
In Casablanca, Morocco, Powell dined for 2 1/2 hours Monday with Abdullah, whose offer of peace and security to Israeli in exchange for land has drawn the support of Bush and the 22-member Arab League.
