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At least 17 people were injured in the blast in the mainly Sunni Muslim Bab Tibbaneh district.
The cause of the explosion is unknown.
Nine people were killed in sectarian fighting in the area last Sunday.
The clashes have threatened to derail moves to form a government of national unity.
An agreement was reached in May to elect a president and form a new government.
But Western-backed anti-Syrian Prime Minister Fouad Siniora and pro-Syrian parties led by Hezbollah have so far failed to reach agreement on the make-up of the new government.
(BBC)
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