Coverage continues of Sec. Clinton's remarks at the Fifth Annual ATFP Gala. MK Tibi says Israel's new loyalty oath is a repudiation of Palestinian citizens. Settlers race to construct housing in the West Bank. Palestinians say negotiations are on hold until the US midterm elections. Settlers attack Palestinian olive harvesters. Pres. Peres says peace with the Palestinians would help the US deal with Iran. The PA uncovers a Hamas arms cache in the West Bank. Bradley Burston says FM Lieberman is the new Kahane. Israel prepares for possible unilateral measures. PM Netanyahu says Kadima is not joining his government. The US is also mulling a “plan B” on peace. George Hishmeh asks what maneuver Netanyahu will come up with next. IPS profiles former Israeli soldiers opposed to the occupation.

PM Netanyahu says Israel's new loyalty oath will also be mandatory for Jews. Israel is pushing for Palestinian recognition of its “Jewish character.” Israel claims Hamas has antiaircraft missiles. A report suggests that jailed Fatah leader Marwan Barghouthi might be included in an Israel–Hamas prisoner swap. Palestinians say Israel seeks to retain the West Bank as a market. Israeli officials say a settlement freeze extension might be possible. Palestinians say Israel is seeking de facto recognition of annexation of Jerusalem. Netanyahu is still resisting court ordered demolitions of unauthorized outposts. Palestinians may propose a UN resolution calling for settlement evacuation. The ongoing olive harvest has been the most violent on record. An animated model of former PM Sharon in a coma goes on display in Tel Aviv. The BBC looks at a new film about Palestinian nonviolent protests. Khaled Diab says the Israeli military is not a charitable organization. A leading Israeli rabbi says non-Jews only exist to serve Jews. Tony Karon asks who made Netanyahu the leader of the Jewish people. Linda Heard says Washington should do more to control Israel. Victor Kotsev looks at problems facing Palestinian citizens of Israel.