The Palestine Chronology

Military Action:

3 US ships carrying standby Marine force of 2000 leave coast of Lebanon, head for US by way of Indian Ocean.

Political Responses:

Israel/ Occupied Territories: Cabinet devalues shekel 23%, now worth approx 80 to $1 [2 months ago it was 53 to $1]; food subsidies cut 50%, bread and dairy prices rise 50%, gasoline rises 23%, panic buying ensues; government to make $ lb in budget cuts, offers plan to protect commercial bank stockholders.

Palestinians/ Lebanese: Jumblatt rejects presidential palace as meeting site, proposes Greek ship anchored inside Lebanese waters; LAF Chief of Staff travels to Jumblatt's village, meets Druze defectors, delays return to his command; IDF reportedly establishing new militias in South Lebanon; Haddad cites medical reasons, relinquishes command of his militia.

Military Action:

Security committee agrees to use of 600-800 Greek and Italian troops to monitor cease-fire.

Political Responses:

Israel/ Occupied Territories: Banks halt sales of foreign currency, Stock Exchange remains closed, shekel declines 5.5% against dollar in day; Knesset approves Shamir government by 60-53 vote.

Palestinians/ Lebanese: Rival PLO factions exchange small arms fire in struggle over control of two Fateh offices in Damascus.

Arab Governments: Syria and Saudi Arabia agree to use of Lebanese presidential palace at Baabda as venue for national reconciliation talks; Gemayel issues invitations to talks, reportedly beginning October 19.

Casualties:

300 Christians in Beirut demonstrate at presidential palace against continued siege of Deir al-QRmar by Druze militia.

Political Responses:

Palestinians/ Lebanese: Jumblatt announces formation of civilian administration in Chouf and Aley areas under Druze control.

Military Action:

Artillery and rocket battles between LF and PSP continue; PSP militia captures Bhamdoun; LAF takes up positions at Souq al-Gharb; fierce fighting continues in hills near Beirut airport and along coastal road near Khaldeh.

Casualties:

Police report 31 killed, 67 wounded in Chouf and Beirut, total since Sunday 216 killed, 561 wounded; LAF reports 4 soldiers killed, 8 wounded, 2 civilians killed, 17 wounded in Beirut; 1500 residents flee Bhamdoun; 800 demonstrate near presidential palace, call for government to stop Chouf fighting; 2 US Marines killed, 3 wounded by rockets fired from Burj al-Barajneh area, total US casualties now 4 killed, 17 wounded; 6 Italian soldiers wounded.