I think that the parameters are getting clarified.The world has openly made up its mind publicly - peace based on 1967 borders with swaps. PA will seek and get recognition in UN. New legal issues will arise. After the 2012 US elections and 2013 Israeli elections, a final peace treat is feasible. By then the final issues after UN recognition in September will be much more clear and there might as well be more experience of how Palestine will view peace with Israel. All this will help achieve a settlement.
U.S. to deliver 8 advanced F-16s to Egypt on July 30-31, U.S. embassy in Cairo says (Reuters)