Newsweek analyzes Israel's reaction to the PA settlement boycott. Israeli settlers kill a stone-throwing Palestinian child, and break a woman's nose in separate incidents. A senior PLO official says progress in talks is unlikely. Israeli ministers squabble over Jerusalem settlements, leaving analysts befuddled. Yoel Marcus says more American pressure on Israel is coming. Hagai El-Ad and Larry Derfner denounce the campaign against Judge Goldstone, as an effort is launched to bar him from the US. Following US pressure, Israel puts Palestinian home demolitions on hold. Human Rights Watch calls the destruction of Palestinian property in the Gaza war unlawful. The US will provide $200 million for an Israeli missile defense system. Omar Rahman says an imposed solution is required. Palestinian citizens of Israel say they're being targeted by the authorities. Hassan Haidar says Gazans should not pay the price for Hamas intransigence. Hussein Ibish looks at new Palestinian strategies for independence.

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