After the ceremony, President al-Sisi awarded Trump the Order of the Nile, a necklace made of pure gold considered to be Egypt's highest honors.
The Egyptian president called the day a "historic milestone that ends an agonizing chapter".
Among the many world leaders at the summit who stood for a photo opportunity with Trump was Palestinian Authority President Mahmoud Abbas, who less than a week ago was blocked by the US from attending the UN General Assembly in New York.
Although the first phase of the ceasefire agreement has been enacted, there is a lingering question over what role the Palestinian Authority might eventually play in Gaza.
Trump said the second phase of negotiations on a peace agreement were under way.
During his address to the Knesset, the American president suggested the region was experiencing "the historic dawn of a new Middle East".
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