Gen. John Abizaid, the head of the U.S. Central Command, described the opposition in Iraq as a small but well-organized network of cells numbering no more than 5,000 fighters.
Speaking to reporters via closed-circuit television from his headquarters in Tampa, Florida, Abizaid said it would be wrong to give Saddam credit for organizing the insurgency in advance of the U.S.-led invasion last spring, calling him "one of the most incompetent leaders" in world history.
He said he believes, however, that Saddam is still "alive and moving around Iraq."
"Now, people will say, 'Well, that's a very small number,' but when you understand that they're organized in cellular structure, that they have a brutal and determined cadre, that they know how to operate covertly, they have access to a lot of money and a lot of ammunition, you'll understand how dangerous they are," Abizaid said.
A Pentagon spokesman said that although the size of the weapons seizure was "about average," it was part of a heightened campaign to pre-empt attacks.
Abizaid suggested the supply of contraband munitions is drying up. He said "there's actually some indication, based on intelligence information that we have, that ammo is starting to be difficult for them to obtain in certain areas."
Guerrillas also kept up the pressure Thursday, attacking a U.S. vehicle in Fallujah with a bomb, causing three casualties, a witness told CNN.