Hamas has released seven hostages into the custody of the Red Cross, the first to be released as part of a ceasefire in the Israel-Hamas war.
There was no immediate information on their condition.
Hamas has said 20 living hostages would be exchanged for more than 1900 Palestinian prisoners held by Israel.
Families and friends of hostages broke out into wild cheers on Monday as Israeli television channels announced the hostages were in the hands of the Red Cross.
Tens of thousands of Israelis are watching the transfers at public screenings across the country, with a major event being held in Tel Aviv.
US President Donald Trump was arriving in the region along with other leaders to discuss the US-proposed deal and postwar plans.
A surge of humanitarian aid was expected into famine-stri