Hundreds of high school and university students have skipped class to rally against the war in Gaza by stopping traffic in Melbourne CBD in the middle of the afternoon.

A tense stand-off took place between the group and police outside Flinders Street Station after the protesters sat in the middle of the busy intersection at Flinders and Swanston streets about 3pm.

9News observed several people being arrested before 4pm, before protesters announced they were on the move, headed towards Federation Square.

Hundreds of students are blocking traffic in Melbourne CBD. (Nine)
Police have made arrests at a protest in Melbourne CBD. (Nine)

The protest, which was organised by Students for Palestine and the National Union of Students, began about 2pm outside the State Library.

The crowd of several hundred people then marched to Flinders Street Station.

The protesters are demanding an end to Australian military trade with Israel and for universities to end research and investments in the defence sector.

“Our politicians continue to enable Israel’s crimes in Gaza,” National Union of Students Education Office James McVicar said in a statement.

“They are sending critical aircraft components that allow Israel to rain terror from the sky. We are taking matters into our own hands on August 7.”

Tram services have been halted around Flinders Street Station.

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