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Progress on the horizon: Prime Minister Ehud Olmert and Palestinian Authority Chairman Abu Mazen will meet from now on every two weeks. Rice called on the Arab countries to improve their attitude to Israel, so that it can feel that its survival in the Middle East is more secure.

Face to face: U.S. Secretary of State Condoleezza Rice met on Sunday night with Israeli Prime Minister Ehud Olmert in his Jerusalem residence, and presented Olmert with her outline for a new diplomatic initiative.

An A-list of diplomats descend on Jerusalem this week for talks with the prime minister and his deputy on the question of how to restart the diplomatic process in light of events on the Palestinian side.w

It was discovered that the internationally-known elder statesman of Israel's Knesset Parliament, Shimon Peres, 83, the member of the Israeli Knesset who has served longer than any other member of the Knesset - since 1959 - has falsified his "c.v." on the official Knesset Web site.

The U.N. secretary-general will have meetings with the families of the soldiers who have been missing since the battle at Sultan Yaakub, the mother of the missing soldier Gai Hever, and the families of the kidnapped soldiers, Shalit, Goldwasser and Regev.

Political officials closely affiliated with Prime Minister Olmert said Monday that the fact that Hamas assumed responsibility Monday for Ohayon's injury proved that the Palestinian Authority was controlled by a terrorist government.

A senior Israeli security official said that the only subject the Americans are willing to talk about is Iraq. "They are prepared to talk only about three topics," said one senior official, "Iraq, Iraq and Iraq."

Saker Habash, one of Arafat's advisers, issued a statement endorsing the Saudi initiative, clarifying matters by saying: "the right of return is the winning card, which means the destruction of Israel."How can the world deal with the moral issue of the "right of return"?

The expectation is that it will gain full international legitimacy. All this without recognizing Israel or giving up terror. The question remains: How will that come about?