Hezbollah's leader again accuses Israel of responsibility for the assassination of former Lebanese PM Hariri. Micah Zenko says Israel should be open about its nuclear arsenal. A PA official denies claims by Fatah officials that a cabinet reshuffle is imminent. Israel will increase water supplies to Bethlehem. Israeli officials testify at the flotilla attack inquiry, and DM Barak takes full responsibility but contradicts PM Netanyahu. Pres. Abbas will again ask the US for clear terms of reference for direct talks and Akiva Eldar says he faces a difficult choice. Barak says that a robust peace process will end international pressure on Israel. Ami Ayalon says Israel should begin the process of voluntary resettlement of settlers back into Israel. Settler rabbis refuse to be interrogated over a book authorizing the killing of non-Jews. Asharq Al-Awsat interviews PLO official Ahmed Qurei. Shlomo Ben-Ami warns that if mishandled, the peace process could lead to war. The Arab News says Hamas is wrong to condemn the Arab League's approval of direct negotiations. Hussein Ibish looks at political and regional influences on Hamas' policies.

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