Paleocene to early Eocene benthic foraminiferal Δ13C and Δ18O records from southern Tethyan sections at Ben Gurion, Israel (paleodepth 500--700 m), and Gebel Aweina, Egypt (paleodepth 150--200 m), show generally similar trends but 1--3? more negative values than coeval deep-sea isotopic records. In both Tethyan sections a negative Δ13C excursion of 2.5--3? marks the benthic extinction event in the latest Paleocene. For at least 1 m.y. after this event, Δ13C values were 1.5--2? more negative on the shelf than at upper bathyal depths, reflecting a deepening of the oxygen minimum zone, possibly related to an increase or spatial shift in upwelling. Benthic Δ18O records indicate a 2--4 ¿C temperature gradient between the shelf and upper bathyal depths. Temperature-salinity reconstructions suggest that upwelling was a dominant mechanism for surface water formation in this part of the southern Tethys during the late Paleocene. ¿ 1998 American Geophysical Union