A new poll of Muslim countries shows little enthusiasm for Hamas and Hezbollah. Palestinians reportedly agree to US proximity talks but ask for clarifications. Israeli right-wingers condemn the New Israel Fund. A Wall Street Journal commentary says settlers should stay in a Palestinian state. The head of the Herziliya conference says more Palestinians should participate and former Sharon advisor Weissglas praises PM Fayyad's courage. International donors, Palestinian officials discuss municipal projects. Israeli forces arrest two foreign activists in the West Bank and dozens of Palestinians in occupied East Jerusalem. Hamas denies regretting Israeli civilians' deaths from rocket attacks. Israel bans a Palestinian geographer from traveling abroad for six months. King Abdallah of Jordan says Pres. Obama's "undivided attention is desperately needed" on peace. A senior Saudi prince says his public handshake with Israel’s deputy foreign minister does not signal a change in policy.

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