At least 10 wounded when government forces disperse protesters from square where they had been camped out for two months; Yemen president set to sign transitional deal that will grant him immunity if he steps down.

Saleh says, 'Who should I hand power to? Insurrectionists?'; some fear Saleh intends to see out presidential term, despite protests demanding his immediate resignation and Gulf Arab plan for him to step down within weeks.

Up to 90 percent of business closed in Aden, day after Yemenis flood streets of Sanaa and Taiz in rival demonstrations for and against Saleh, who gave a guarded welcome to a Gulf Arab plan for a three-month transition of power.

Witnesses say blast took place after Jaar residents broke into factory to steal ammunition a day after clashes broke out between Islamist militants and the army.

New government would draft new constitution on parliamentary system basis; negotiations over transition of power reportedly stopped; Gates fears Yemen-U.S. anti-terrorism cooperation could be imperiled if Saleh departs.

Snipers on rooftops shot dead up to 52 anti-government protesters on Friday in Yemen; Yemen ambassador to UN resigns in wake of protesters' deaths.

Twenty-two people were wounded in the protests from live bullets fired by security forces, witnesses said, and security forces blocked off the city to prevent people from neighboring cities joining them.

President Ali Abdullah Saleh, a U.S. ally, has called for talks with protesters in an attempt to end the week-and-a-half long demonstrations calling for his ouster, but they have flatly refused his offer.

U.S. president urges governments of these countries to show restraint in responding to peaceful anti-government protesters as continuous unrest sweeps Mideast.

The clashes occurred while President Ali Abdullah Saleh and the main opposition group were preparing for talks that the government hoped would help avert an Egyptian-style revolt in the Arabian Peninsula state, a vital U.S. ally against Al-Qaida.

Hillary Clinton's trip is part of an initiative to underscore to the Sanaa government the importance of fighting Al-Qaida at its roots.

Yemeni-based group boasts low cost of recently uncovered parcel bombing attempts, putting the total cost a mere a $4,200.

Statement follows Saudi warning that Yemini attack on Mecca could not be ruled out.

A 26-year old American from New Jersey came to Yemen in 2008 to study religion and language but ended up detained 18 months later as an al-Qaida suspect.

Sunni Muslim preacher urges Muslim scholars to promote jihad against U.S., Israel; trial against al-Awlaki began last week in Yemen in absentia.