TUNIS - Snipers loyal to Libyan leader Muammar Gaddafi killed two people in the rebel-held city of Misrata on Saturday, a resident told Reuters. "We have two people dead this morning ... because there are snipers on some houses and they are shooting people, they are shooting whoever they see," the resident, called Saadoun, told Reuters by telephone. Libyan government officials deny attacking rebels and say they are observing a ceasefire. Reports from Misrata could not be verified independently because authorities in Tripoli have prevented journalists from reaching the city.