Rafah, Gaza Strip ? With Palestinians facing severe shortages of bread, milk and other foods in Gaza, U.S. officials called an emergency meeting Sunday and brokered a compromise with Israeli and Palestinian negotiators in a two-month-old border standoff.

Ambassador Richard Jones said cargo traffic might start flowing as soon as today at one crossing, and a Palestinian official said a second crossing would be discussed at meetings Monday.

But Palestinian economic misery might take another hit after Hamas militants sworn to Israel’s destruction presented their new Cabinet to Palestinian President Mahmoud Abbas on Sunday. The Islamic group’s failure to bring moderate forces into its government is likely to strengthen Western resolve to cut off desperately needed aid.

The vital Karni cargo crossing between Israel and Gaza has been closed for most of the past two months, shutting off almost all exports and imports for the poverty-stricken seaside territory. Palestinians charge Israel is punishing them for Hamas’ election victory, but Israel insists it is keeping the crossing shut because of warnings of terror attacks.

The lengthy closure has led to shortages of flour, milk and other goods, and bakeries are closing, United Nations workers said.

Jones invited Israeli and Palestinian negotiators to his residence Sunday to find a way to avert a humanitarian crisis in Gaza. He said later there was an agreement to open another crossing, Kerem Shalom at the convergence of Gaza, Israel and Egypt.

Palestinians line up to buy bread at a bakery in Gaza City. With Palestinians facing a dire shortage of bread, dairy products and other essential goods, U.S. officials summoned Israeli and Palestinian negotiators to an emergency meeting Sunday to resolve a standoff over cargo crossings to Gaza.

“We have agreed that the crossing from Kerem Shalom will open tomorrow for imports of food and other essential humanitarian products from Egypt,” and details would be worked out today, Jones told reporters.

Jones did not mention Karni, but Palestinian negotiator Saeb Erekat said a solution also was emerging for activating that crossing and he was hopeful it could be resolved in two meetings scheduled for today.

On Sunday evening, incoming Prime Minister Ismail Haniyeh met Abbas to present his new Cabinet, which includes one woman and one Christian.

Speaking to reporters after the meeting, Haniyeh said the Cabinet would have 24 members, 10 from Gaza and 14 from the West Bank. Fellow Hamas leader Mahmoud Zahar will be the new foreign minister, he said.

Abbas said he would submit the list to the PLO executive committee and then to parliament if it approves. Before the meeting, he said he would review the names but would not decide immediately whether to accept the list. As president, he has the authority to demand changes.

Abbas, who favors negotiating a final peace settlement with Israel, has urged Hamas to moderate its violent ideology but likely will approve the Cabinet, his aides say. He will, however, warn Hamas that its refusal to soften its positions could hurt the Palestinians’ international standing.