Suicide bombers kill 130 in Iraq

BAGHDAD, Iraq (Reuters) - Suicide bombers killed nearly 130 people in a crowded market in a Shi'ite district of Baghdad and a mainly Shi'ite town on Thursday, one of the bloodiest days in Iraq in months.

The upsurge in sectarian violence threatens all-out civil war and Prime Minister Nuri al-Maliki, a Shi'ite, called for restraint and urged Iraqis to work with security forces to prevent the violence spiraling out of control. Bombs earlier this week in northern Iraq sparked mass reprisal killings.

Two suicide bombers wearing vests packed with explosives killed 76 people in a market in the Shaab district of northern Baghdad, police and medical sources said, in what appeared to be the latest of a string of attacks on Shi'ite districts and towns blamed on al Qaeda. More than 100 were wounded.

"It is impossible to tell the exact number of dead because we are basically counting body parts," said a Health Ministry official in Baghdad, who asked not to be named.

Most of the victims were women and children, who had been out shopping in the crowded market before the start of the nightly curfew, he said.

At about the same time, three suicide car bombs exploded within minutes of each other in Khalis, 80 km (50 miles) north of Baghdad, killing 53 people and wounding 103, police said.

There has been a spike in bloodshed, particularly outside the Iraqi capital, in recent days. Violence between majority Shi'ites and minority Sunnis has killed tens of thousands in the past year.

On Tuesday two truck bombs killed 85 people in a Shi'ite area of Tal Afar in northern Iraq. In the hours after those blasts Shi'ite gunmen, including police, shot dead up to 70 Sunni Arab men in reprisal.

The top U.S. commander in Iraq, General David Petraeus, confirmed on Thursday police appeared to have carried out "retribution killings" after the bombings, which he blamed on al Qaeda. Iraq's Sunni vice-president urged the Shi'ite-led government to do more to purge the security forces of militias.

In Khalis, one car bomb exploded in a commercial area and a second at a police checkpoint leading to the police headquarters and court building, police said. A third bomber attacked police patrols rushing to the scene.

"It was a scene of horror. There were charred bodies and human remains scattered about," said one policeman who spoke on condition of anonymity.

MARKET BLAST

A survivor of the Shaab market blast in Baghdad, Wissam Hashim Ali, 27, told Reuters the market had been "very, very crowded" at the time of the blasts.

"I saw heads separated from the bodies and legs blown off," he said in hospital, where he was receiving treatment for his wounds.

Maliki's office said in a statement the prime minister condemned the bombs and called on Iraqis "not to let evil-doers have their way and to cooperate with security forces, who are determined to cleanse Iraq of terrorism".

New U.S. Ambassador Ryan Crocker told his swearing-in ceremony that "terrorists, insurgents and militias continue to threaten security in Baghdad and around the country" and called Iraq America's "most critical foreign policy challenge".

The U.S. Senate, following the House of Representatives, passed a war-funding bill on Thursday that sets a goal of withdrawing all U.S. combat soldiers from Iraq within a year.

President George W. Bush, who has vowed to veto the measure, is sending up to 30,000 additional troops to Iraq, most of them to support a major security crackdown under way in Baghdad, epicenter of the violence.

While this crackdown has succeeded in reducing the number of deaths in the capital, violence has surged elsewhere.

(Additional reporting by Dean Yates and Claudia Parsons in Baghdad)