NEWS: With crossings closed, the pilgrimage to Mecca has become virtually impossible for Palestinians in Gaza. Pres. Ahmadinejad calls the Israeli government “an insult to humankind.” Kadima leader Mofaz demands clarifications from PM Netanyahu about a possible military action against Iran. PA debt is affecting the Palestinian private sector. Four Egyptian soliders are wounded in another attack by militants in Sinai, as Hamas asks Egypt to exclude Israel from security cooperation regarding the Peninsula. The US and Israeli navies are holding joint maneuvers in the Mediterranean. Israel's Deputy PM condemns “outrageous” attacks by Jews against Palestinians. Israeli police say hundreds of Jewish Israelis witnessed a lynching attack against Palestinians but did nothing to stop it. Five suspects are arrested in that attack. Netanyahu promises Pres. Abbas that Israel will catch whoever is responsible for a firebomb attack on a taxi that injured six Palestinians. Hamas arrests an extremist suspected in the death of an Israeli laborer in June. Israeli university heads petition the High Court to reverse a decision granting university status to a school in a settlement. COMMENTARY: Carol Williams asks if Israel is “crying wolf” regarding a possible attack on Iran. James Traub asks if Netanyahu and DM Barak are “crazy enough” to attack Iran against the wishes of the US and the majority of Israelis. Daniel Nisman and Avi Nave explain why, in their view, Israel expects an Iranian retaliation to have a limited impact. Leonard Fein questions Netanyahu's assertions that Iran is an existential threat. Uzi Rubin warns an attack on Iran could bring a massive missile response. Amira Hass outlines how Israel uses military orders to seize Palestinian land in the occupied West Bank. Jeff Barak says it's a sad state of affairs when Israel's 89-year-old president must serve as the isolated "voice of reason" in government. The Jerusalem Post says tolerance of violence and bigotry against Palestinians in Israel must stop. Ben Lynfield says little drama is expected this year if Palestinians resume efforts at greater recognition at the UN.

NEWS: Two Palestinians are killed as the Syrian government shells a Palestinian refugee camp near Damascus. Unidentified explosions occur in a city in southern Israel. Some Israeli estimates anticipate a month-long conflict after a potential strike on Iranian nuclear targets. Families of slain Iranian nuclear scientists plan to sue Israel. Israel is raising the quota of Palestinian workers from the occupied territories to 30,000. Tension is rising on the Israel-Lebanon border. Muslim extremists are suspected in a bombing attack on a hair salon in a refugee camp in Gaza. Hundreds of Israelis petition IDF pilots to refuse potential orders to bomb Iran. In defiance of Israel's attorney general, government ministers decide to hand a building in occupied Hebron over to Israeli settlers. Egyptian troops are being reportedly deployed in northern Sinai without Israel's prior approval. Palestinians flock to Jerusalem as Israel eases restrictions for Ramadan prayers. The United Church of Canada votes to boycott goods produced in Israeli settlements, including occupied East Jerusalem. Secular Israelis are gentrifying some settlements. A ships sailing from Indonesia to Australia that includes 28 Palestinian passengers has been missing at sea for 48 days. COMMENTARY: Daniel Byman and Natan Sachs say Israel must move quickly to stop settler terrorism in the occupied West Bank. Adam Gonn says chances of Palestinian success at the UN later this year are slim. Ha'aretz says rather than being angry with the EU, Israel should examine its own conduct regarding settlements. Eitan Haber says Israeli leaders need to listen to what American officials are telling them regarding Iran. Attila Somfalvi says that message is to stop pretending that Israel on its own can do much damage to Iranian nuclear progress. Frank Lautenberg says Mitt Romney and other Republicans are “playing politics” with Israel. Jonathan Rosen says Israel's government isn't despotic and the threats the country faces are real and existential. Kenneth Stern says in spite of its repeated failures, the BDS campaign remains a danger to Israel. The National says Israeli politicians pushing for war with Iran may be acting with regard to personal and political gain. Aaron David Miller says the US doesn't really care that much about political freedom or peace in the Middle East. Hussein Ibish suggests American politicians should read Bernard Lewis more carefully and add other historians to the mix.