Roger Cohen says urgent action is needed to salvage the two-state solution. Palestinians petition the UN over the construction of a museum being built on top of a Muslim cemetery in Jerusalem. Israeli military actions in Gaza kill one, wound four. Israel says a Palestinian who stabbed an Israeli had "personal problems," and the PA condemns the attack. Israel is rerouting the separation barrier around a village that has been the site of nonviolent protests. Christian priests and a Jordan Times commentary call for more nonviolent protests. Palestinians accuse Israel of driving them out of Jerusalem. A Ha'aretz commentary says Israel needs the Goldstone report. Israel says the Karni Crossing will remain shut as long as Hamas remains in power and the Jordan Times condemns the statement. The PA says it has detained six Al Qaeda operatives. Israel's consul general in Boston attends a J Street event. A Jerusalem Post commentary says proximity talks may help peace. The National says a new poll shows Arabs favor moderation. Osman Mirghani examines conflicting statements about Hamas apologizing for civilian deaths and Tariq Alhomayed says the flap over the Saudi-Israeli handshake is a symptom of chronic Arab political out-bidding.

In spite of the last-minute reprieve, funding disputes threaten Gaza's electricity supply. Israeli warplanes bomb southern Gaza. UNRWA issues another appeal for funding. Gaza journalists are caught up in the Hamas-Fatah rivalry. Pres. Abbas says he still waiting for US clarification on new talks. An Israeli man is stabbed in the occupied West Bank. Tensions flare between Israel's Defense Minister and military Chief of Staff. A.B. Yehoshua says peace with the Palestinians is Israel's best response to Iran. The PA says a new corruption scandal is an Israeli conspiracy. Matthew Levitt asks if Gaza is going the way of Somalia and Yemen. Jonathan Freedland says Palestinians should call PM Netanyahu's bluff. Gazan tunnelers dig ever deeper. Tony Karon says Israelis must feel a price for occupation. David Newman says there is ample room for a peace agreement land swap.

An Israeli stirs controversy by making keffiyehs featuring the Star of David. Landmines are an ongoing problem in the occupied Golan Heights. PM Fayyad again demands an end to Israeli raids and settlement activity. A senior Fatah official says it will reopen its headquarters in Gaza. The PA says it will hold local and municipal elections in July, and reiterates terms for resuming negotiations, but Pres. Abbas says he is still waiting for clarification from the US. Hamas opposes elections and accuses the US of blocking peace and Palestinian reconciliation. The new Palestinian security forces continue to gain ground. Officials say settlers are unlikely to prevail in trying to hold onto a seized Palestinian house in occupied East Jerusalem. The National says Special Envoy Mitchell's approach may still pay off. Hassan Barari looks at the implications of a public handshake between senior Israeli and Saudi officials.

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.

An ATFP original translation by Hamadeh Faraneh looks at Israeli reactions to PM Fayyad. Palestinian factions conclude their meeting in Gaza. The power plant in Gaza may shut down. The Dubai police say they may pursue Israeli officials over a recent assassination. The UN casts doubt over recent Gaza war probes. Israelis and Palestinians plan for a mixed neighborhood in Jerusalem. An Israeli police officer may be charged in the death of a Palestinian boy. Israeli politicians seek to investigate human rights organizations. A Red Cross convoy is attacked in Gaza. The Gaza blockade hinders Palestinian medicine. Various Arab commentaries critique Israeli policy. The Goldstone report has created a rift in Israeli civil society.

The LA Times profiles Israeli television satire. Palestinian factions meet in Gaza. Pres. Abbas says he is determined to move forward with peace, and PM Netanyahu says talks may begin in weeks. Israel's mayor in Jerusalem says he will demolish a settler structure and 200 Palestinian homes. The US tells Israel that easing the siege of Gaza would help contain fallout from the Goldstone report. A Jerusalem Post commentary says Israeli war confessionals can only be done anonymously. Jewish groups face divisions over J Street's move onto campuses. Aluf Benn says Israelis do not understand their global image and Avi Shlaim complains about the performance of Quartet Envoy Blair. In the Forward, ATFP President Ziad Asali calls for an Arab and Jewish American led coalition for peace. Several Arab commentaries say Israel should face international justice. Joshua Muravchik rebutts a scurrilous attack on ATFP.

ATFP President Ziad Asali explains the Palestinian state and institution building program. At a major conference in Israel, PM Fayyad demands an end to the occupation, and DM Barak says without peace, Israel will be an apartheid state. Hamas says it may broaden the conflict with Israel. Israel is still considering options on a prisoner exchange. Hamas submits its response to the Goldstone report. A senior Fatah leader makes a goodwill visit to Gaza. A third "barrel bomb" washes up on an Israeli beach, and Israel bombs a Gaza smuggling tunnel in response. Dubai warns Israel, Hamas. A Ha'aretz commentary says fear of peace will be the death of Israel. Israeli officers and international experts say the Israeli military violated the rules of war by placing soldiers lives ahead of civilians. Special Envoy Mitchell reportedly urges Europeans to push for renewed negotiations.

Israel says no charges will be filed in the case of an American badly injured by occupation forces in the West Bank. Controversy continues over Israel's alleged use of white phosphorus in the Gaza war. The term of the Palestinian parliament expires. Hamas says prisoner negotiations with Israel have ended, and insists that it's not afraid of elections. Three explosive devices wash up on a beach in Israel. Iran blames Israel for the assassination of a Hamas operative in Dubai, but Hamas points to Arab killers. Jordan is criticized for stripping citizenship from Palestinians. Israel risks Muslim anger over holy site construction. The limited settlement moratorium is reportedly starting to have an impact. King Abdallah of Jordan urges more US peace efforts. Pres. Abbas is seeking a way to return to peace talks, and The National says people should heed his warnings. The UN presents evidence contradicting Israel's claims about Gaza war crimes. Palestinian politicians in Israel say they face persecution. Tariq Alhomayed asks whether Hamas is threatening Israel or the Arabs when it pledges revenge for the Dubai murder. Hussein Ibish analyzes the new PA budget for state and institution building.

The Washington Post looks at Israel's ties to Pacific islands. Israel claims the senior Hamas official murdered in Dubai was a key figure in arms smuggling, but an Israeli minister denies any responsibility. Pres. Abbas says he is not looking for US guarantees, calls for a three month settlement freeze and warns Israel is creating a single state. The governor of Hebron warns against increased settlement activity. Israel denies reports it disciplined officers over white phosphorus use in Gaza. Palestinians launch their first private equity fund. A Ha'aretz commentary says the Israeli left must wake up before it's too late. The Israeli army seizes a hilltop in the occupied West Bank. An EU official says proximity talks will begin soon. A Guardian commentary says Israel's opposition to Palestinian state building is leading to a new intifada. The Independent says Palestine is slowly dying in the West Bank, and Lord Phillips of Sudbury calls for sanctions to save Israel from itself. A Gulf News commentary says Israeli leaders must evolve, and the Arab News defends the Goldstone report.