The disputed fate of Jerusalem has long epitomized the stalemate in the Middle East peace process, and over the past two weeks it has been at the center of rare diplomatic brawl between Israel and the U.S. But even as the Obama Administration and the Israeli government square off over demands that Israel refrain from announcing new construction projects in occupied East Jerusalem, the tussle as Israel extends its grip and Palestinians push back is a flashpoint. "The tinder is dry in Jerusalem," says one Western diplomat. "Israeli moves on the ground have been a source of tension, and Palestinian side is heating up the atmosphere as well. It's unwise to predict an explosion, by the slightest spark could cause one."
Jerusalem is just one of a number of difficult "final status" issues to be negotiated in pursuit of a two-state solution — others include where to draw the borders; the fate of settlers and of Palestinian refugees who fled their homes in Israel in 1948 and were barred from returning; security; and water rights. But the fate of the Holy City is easily the most emotive, and perhaps also the most intractable point of conflict. And the very process of trying to restart final-status talks has once again put Jerusalem at ground zero in the conflict.
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