This pretty much descibes the negotiation process. Netanyahu is no going to give up the West Bank, and Abbas is never going to recognise Israel as a Jewsish. (Sorry to disappoint both sides). So we now have anew cold war of attrition. Netanyahu- and lets not personalise this- the rest of govenment plan to take all the land, and once its over,"these are the changes on the ground": neigbours lets now be friends. Abbas is about the same game(apart from the lack of land). He can slowly watch Israel become molre aurthoritive/hardline religious as the ultra orthodox gain the ascendency, and Israel completes its own International delegitimasation, and loses support in the West. It is the classical case of both parties wanting everything, and each ending up with nothing. Good night, and may your god go with you. The quartet should sick to discussing the weather.
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Preliminary report: Stabbing attack in Jerusalem near Damascus Gate (Haaretz)