New Delhi, Oct. 9 -- For 24 months, it's been Israel's ground zero of anguish, uncertainty, torment and despair.

But early Thursday, the central Tel Aviv area that's become known as Hostages Square was a burst of unfettered jubilation.

A Champagne bottle was popped open to cheers from the crowd. Sweets were doled out. Tears of joy mixed with laughter and long embraces as the news sunk in: The struggle to free Israeli captives held in Gaza appears to finally be coming to a close.

"Matan is coming home!" yelled Einav Zangauker, arguably the most prominent face of the 2-year-long campaign to free the hostages, referring to her captive son. Her arms raised to the sky, she shouted out "Thank you!" as a crowd of supporters, families of hosta...