The PA pushes a strongly worded UN resolution condemning Israel for alleged war crimes committed in Gaza and provocative steps in Jerusalem, but Ha’aretz argues that the more extreme the resolution is, the better it is for Israel. Prime Minister Fayyad expresses concern that Israel is contemplating a Palestinian “Mickey Mouse state.” 3 Palestinians are wounded in an Israeli air strike on Gaza tunnels. Reports suggest that Fatah officials may already have signed an Egyptian brokered national reconciliation deal. The JTA asks whether or not Israeli ambassador Oren will attend the upcoming J Street conference. In the Washington Post, Former Israeli Defense Minister Ephraim Sneh argues that PM Fayyad’s plan for building de facto Palestinian statehood could bring about “real progress toward a two-state solution.”

President Abbas gives a major address pledging to resume efforts to push the Goldstone report in multilateral institutions and reiterating Palestinian conditions for peace talks. Israeli and Palestinian leaders welcome Pres. Obama's Nobel Peace Prize. Special Envoy George Mitchell reiterates that a Palestinian state must be "contiguous."Israeli forces reportedly demolished a Palestinian home in occupied East Jerusalem. News reports differ as to whether or not Palestinian factions are set to sign an Egyptian brokered reconciliation agreement in coming days, and Hamas reiterates its opposition to new elections. Hundreds of lawsuits have been filed against Israeli officials around the world, Turkey excludes Israel from planned military joint exercises, and Israel has warned Britain against any show of support for the Goldstone report.