NAJAF, Iraq, Sept 8 (Reuters) - A roadside bomb exploded in a market in the holy Shi'ite Iraqi town of Kufa on Saturday, killing five people and wounding eight, police said.

The local hospital said three people were killed and four wounded.

Kufa is one of three religiously important cities for Iraq's majority Shi'ites that lie south of Baghdad. Fiery anti-American cleric Moqtada al-Sadr also has his home there.

In May, a suicide car bomber killed 10 people when he drove a minibus into an open market packed with morning shoppers. That attack bore the hallmarks of Sunni Islamist al Qaeda.

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