Why should be denied the peace prize for being tough on a man leading a nation at war? Whether we like it or not, the development is causing furious anger among palestineans and fuels the power of Hamas. Bibi can't take any tough decisions, as he can't play the game. Currently it's the rights of Israel vs Peace, and he chooses Israel. That can't be blamed on Obama.
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Palestinian groups declare day of mourning and rage after death of Ras al Amud teen (Haaretz)
from the article: Can Oslo take back Obama's Nobel?