>> not yet. >> reporter: 7:33, the president heads to his residence, but netanyahu stays. where is he? turns out, camped out for almost an hour with israel's defense minister and other advisors in the roosevelt room, just across the hall from the oval office. 8:20. the prime minister asks the president to come back downstairs for a second oval office meeting. they talk for another 35 minutes. 9:10, netanyahu finally emerges, the dispute still not resolved. >> there are areas of agreement, areas of disagreement, and that conversation is ongoing. >> reporter: this afternoon, middle east negotiators george mitchell and dennis ross picked up where the president left off, this time at netanyahu's hotel. >> our goal is the resumption of negotiations. >> reporter: clinton and netanyahu have been sparring, a saga of unreturned phone calls, statements of condemnation, and on jerusalem, defiance. >> jerusalem is not a settlement. it's our capital. >> reporter: tonight netanyahu is holed up in his hotel and so far no one is inviting him back to the white house, andrea mitchell, nbc n

and the same with netanyahu.painful decision you have have to make looking at the eyes of the israeli public. and i told the president we have to invest our creativity and experience in creating the conditions under which those people will be broader to the point of decision saving them the moving through the corridor to this door where they are exposed to public criticism and political obstacles within their own society. if we could think of either a description which since could be clarifyed in a more open matter or some kind of a formative event that change overnight the perception of millions, we should have we should have tried to do this. short of this, we have to find a way to start direct negotiations. that's the point where we defer from our rivals. we don't want to deal only with these tiny petty issues because if it fails... if proximity talks fail over issues like this or that, permission to do this or that step no one will know. you won't know, we won't know, the palestinian won't know. whether an ag

netanyahu told congress today he won't blink. after the meeting eric cantor said he shouldn't. >> the construction issue is a red herring this is not what these peace talks should be about. >> reporter: administration officials say the continued settlement expansion undermines the trust needed to get to the talks. experts say that isn't new. >> we can look back to the first bush administration and see that there was an issue between the u.s. and israel on the settlements as well. >> reporter: still, some lawmakers what is new is the threat posedded by iran developing longer range missiles believed to be trying to develop nuclear weapons spurring a bipartisan call for a change in u.s. priorities. >> congressman jesse jackson and i have put together a letter urging the administration to focus more of its energy on iran. >> reporter: the meeting between the president and prime minister netanyahu which is going on now, the second in a row in which there are no plans for even a photo opportunity. the white house insists u.s.-israeli r

>> it's been under the circus -- the surface for as long as benjamin netanyahu has been prime ministerhe past year. his latest reincarnation. i think there's been a lot of frustration that's been building at the white house with prime minister netanyahu. and that goes back to last june when the white house and the obama administration came out very strongly saying that they wanted a settlement freeze and no way and the white house backed down. and president obama i think has been sort of smarting from that. ever since. vice president joe biden, paul was with him on this trip, went to israel two weeks ago and was in the eyes of the white house, humiliated when on the same trip that he went to israel to -- jump-start peace talks and get -- make amends and get this relationship back, moving again. there was another announcement of more housing construction in east jerusalem. president obama was furious. he called biden twice on this trip. he was very, very angry. and i think the obama administration, president obama, leading the way, sort of decided that they were going to draw a line in

netanyahu realizes it as well. this is their historic opportunity. i believe if the pressure is kept off of them, they will be able do it, but primarily through negotiations that the parties carry on by themselves. if the united states is going to be the honest broker, they have to have the confidence of both sides. that's one thing undermined this time around. >> yes, there's an erosion of confidence between israel and the united states on both sides. we've been through many crises before. if we can get through this one, it will be possible for the american -- the israeli people to have confidence in the united stat states, in this administration, because of all the things this administration is doing manifest itself to israeli's security from $3 billion a year, enhanced missile defense, detailed coordination of the iran challenge. i think that there are many things that the -- this administration is doing to provide the kind of safety net that would make it possible for israel to take calculated risks for peace. >> we will come back to this discuss

netanyahu apologize for the timing, but not the principles. despite these smiles, divisions linger. >> new construction undermines the trust and dangers proximity talks and a further step towards full negotiations that both sides say that they want and need. it exposes daylight between israel and the united states that others in the region hope to exploit. >> meaning the government of iran. washington's concern is that this will embolden their common enemy intent on producing nuclear weapons. on that much they agreed. the israeli prime minister also warned of a nuclear-armed iran, that the common ground between the allies remains shaky. >> earlier i spoke to the mayor of jerusalem. i put it to him that u.s. relations are at their worst in many years. >> we have a difference between strategy and disagreement. i believe that there is a disagreement about the relationship between america and europe to israel is very strategic and i do not look at it as confused. >> use a strategic, i think you are playing with words. american officials have said

netanyahu remained in the white house and consulted with his staff in the roosevelt room.hen requested to see the president again and they returned to the oval at about 8:20 and met for a little more than half an hour. >> reporter: mr. obama's middle east envoy mitchell met with top officials at the white house until 12:30 this morning. the white house refused to discuss the substance of the talks, also refused to call them negotiations. >> president has asked the prime minister for certain things to build confidence leading up to proximity talks that we think can make progress. >> reporter: the current flashpoint israeli plans to expand jewish settlements in east jerusalem. the president opposes it he fears that could consult peace talks with the palestinians. a position some republicans have openly criticized. >> american people sue -- support israel and the u.s. government better get onboard the people i represent are not embarrassed or had you mill ed by the acts of israel. >> reporter: announcement of a building complex in east jerusalem, the white house has asked isr

. >>> israeli prime minister benjamin netanyahu's visit to the u.s. is over without a deal in the dispute over israel's plans to build housing in east jerusalem. president obama and netanyahu held two days of talks over the announcement of plans to build 1,600 new apartments in a traditionally arab held area of jerusalem. there has been no easing of tensions between the u.s. and

certainly, benjamin netanyahu has come to washington and found quite defiant. he believes, of course, that he does not have to make a concession when it comes to making settlements in east jerusalem. for the obama administration, it looks quite different from here. they believe that the settlements -- the issue of settlements are undermining progress and peace talks. anyway, they feel that the israeli government is standing in the way of any progress at the moment. the obama administration would really like to see some kind of movement when it comes to the israeli government behavior, perhaps even private reassurances that settlements will not be allowed to undermine the needed trust to start those talks moving forward. >> you know the middle east very well. what do you think the chances are? how does this bode for middle east peace talks? >> that is the million-dollar question i do not think the u.s. has a very clear strategy at this place on how to move forward. the short-term goal is to get both sides to behave, both the israelis and the palestinians, just t

when netanyahu arrived?nging th this. what a story. >> they had a meeting at 5:30, none of the unusual photo op's. it was all behind closed door ands and then requested another meeting until 9:00. and then the advisers stayed behind until 1:00 in the morning. so something is going on but we're not being told what it is. and that's not necessarily a good sign. >> but a total rarity, because usually, god gles them, the israelis are usually the first one to give readouts. they are trying to shape a story particularly in the american press quicker sometimes, than the white house wants to do it, whether it was the bush white house or this white house. but netanyahu feels the -- the pressure is on him. with britain and the ousting of the diplomat there -- >> it's been a bad week. britain, in case you didn't know this story, an israeli diplomat discovered that 12 british passports were forged in the assassination of a hamas leader in a dubai hotel. >> that's the thing we all had video of. >> by the way, talking of

netanyahu refused to yield to u.s. halt construction of housing units in east jerusalem. here are the back and forths. >> the jewish people were building jerusalem 3,000 years ago. and the jewish people are building jerusalem today. jerusalem is not a settlement. it's our capital. >> new construction in east jerusalem or the west bank undermines that mutual trust and endangers the proximity talks that are the first step toward the full negotiations that both sides say they want and need. and it exposes daylight between israel and the united states that others in the region hope to exploit. it undermines america's unique ability to play a role, an essential role in the peace process. >> let's turn to nbc news chief foreign affairs correspondent, andrea mitchell. also host of "andrea mitchell reports" and msnbc political analyst, howard fineman, also of "news week." i'd like both of you experts, which you are, to talk about presidential power and how victory in one arena, domestic politics, and perhaps political leadersh

right now, netanyahu has refused to yield.ill from nancy pelosi, boehner. but certainly not from hillary clinton. in her speech to the pro-israel group last night and you can expect that the meeting with the president will be tense at best. why is netanyahu being as tough as he is being and not giving a little bit more courtesy to american objections and to the diplomacy? >> well, i think you actually have to read between the lines here. when he beats his chest and says we're going to build in these suburbs that are going to be part of israel in any solution, he's talk about building in the jewish suburbs of east jerusalem. he's making a distinction between those and the arab suburbs of east jerusalem. >> but he's not willing to say they're giving up the right to this. he's not giving the palestinians enough cover to come back to negotiations, at least right now. >> well, that's not clear. it's not clear that the palestinians are not willing to engage in the proximity talks. i think it depends on what happens when he leaves wa

the name is netanyahu. now that's my last name. 1,000 years earlier to benjamin, the son of jacob. one of benjamin's brothers was named shimon, which also happens to be the name of my good friend, the president of israel. [applause] you see, nearly 4,000 years ago, benjamin, shimon, and there ten brothers roamed the hills of today and to. ladies and gentlemen, the connection between the jewish people and the land of israel cannot be denied. [applause] the connection between the jewish people and your darussalam cannot be denied. [applause] the jewish people were killed in jerusalem 3,000 years ago, and the jewish people are building jerusalem today. [applause] jerusalem is not a settlement. it's our capital. [applause] [cheers and applause] [cheers and applause] thank you. in jerusalem my government is maintained -- [cheers and applause] thank you. thank you. you're very kind. thank you. [cheers and applause] in jerusalem my government has maintained the policies of every single israeli government since 1967 including those led by

the president and benjamin netanyahu met twice yesterday. news coverage was barred. an israeli spokesman described the atmosphere as good. david martin reports. >> reporter: israel's prime minister netanyahu ignored reporters as he arrived at the white house for a meeting with president obama. the moment of truth for any chance of negotiations to create an israeli and a palestinian state, living side by side. >> time is running out on the two-state solution. which remains the only viable solution, and the only solution that suits america's interests. >> reporter: israel set back peace talks with the palestinians by announcing it would build 1600 new housing units in contested east jerusalem. right in the middle of a visit by vice president biden. former u.s. ambassador to israel martin indyk says that made the obama administration look weak. >> the weakness comes from president obama having declared as one of his highest priorities from day one of his administration a resolution to the israeli/palestinian conflict. he has yet to be able to show progress in that regar

if netanyahu is convinced that he must keep east jerusalem. if he's convinced he's going to build to palestinian territory in the west bank, then that is going to challenge america's perception of what a two-state solution looks like and it's going to challenge what america needs to create context ally in the region. >> brown: it certainly looks as though the obama administration has pushed back really hard. clinton says she's talking about steps that would demonstrate ... is the obama administration right to be upset, a? and b, to be demanding concrete steps now? >> i think it's absolutely right to be upset. there's no benefit in politics to being upset unless it serves a tactical advantage. the united states... this isn't an emotional issue. this is about a clear-headed difference of opinion about what national security for the united states means and what it means tore israel. the united states has to find a way of bridging that gap with israel. now israel continually has told the united states, no, publicly. and has not paid any consequenc

benjamin netanyahu, is it no deal at the white house? pakistan's military cooperation under the spotlight as there are talks in washington. 30 years on, the people of san salvador remember the murder of oscar romero. the british finance minister, alistair darling, is performing a balancing act today. his pre-election budget has to satisfy voters in financial markets of the same time. international market movers want to know how serious he is about cutting the deficit. a challenge that is not unique to britain alone. >> here at westminster officials have been working on the last budget before the general election. usually at this stage, politicians like to have a bit of a giveaway budget for voters. this year such is the state of the nation's finances that there simply is not the money to do anything spectacular. alistair darling, the chancellor exchequer has been trying to manage expectations ahead of the big day. >> there will not be a christmas tree of a budget, you will be getting an essential budget for the time in which we live. >>

[applause] and the prime minister's wife, sarah netanyahu.sarah and the prime minister obviously have accomplished a great deal in their lives, perhaps the honor most part of this evening is the one recently bestowed upon their son. he one israel's prestigious national bible competition. [applause] this was quite an accomplishment and quite a distinction, so congratulations to him and to his proud parents. [applause] in his long and distinguished career, the israeli prime minister, benjamin netanyahu, has confronted the challenges facing the jewish state with courage, with passion and with moral clarity. as u.n. ambassador, foreign minister, opposition leader, and now in his second term as prime minister, he has been pursuing peace, security and economic growth for his country throughout nearly 30 years of public life. for decades he has warned the world about the threat of terrorism and radical islam. he has long recognized the danger of a nuclear-armed iran not just to israel but to the entire world and he has been among the most prominent

his treatment of benjamin netanyahu, israel's prime minister was disgraceful.r enemies with greater courtesy. and it's utterly counterproductive. all this vendetta from the white house does is even current the palestinians and their backers to make wilder demands israel can't possibly fulfill. this is not a peace process or diplomacy. this is something about a chip on the president's shoulder. megyn: the white house is ticked off because they don't want i will raise building more settlements. and building settlements in jerusalem. that's where the showdown got off the rails on policy. is the white house policy such a departure from what we have seen under past administrations? >> absolutely. this goes back to last year's cairo speech. will president obama attempting to appease muslims in the middle east and he raised palestinian-arab expectations. and in the past under president clinton, under president bush we have had face-to-face negotiations. the palestinians were offered one deal after another and it was always the palestinians who walked away.

you'll hear from benjamin netanyahu. spoke for 45 minutes. ♪ ♪ ♪ >> we are so honored to have the prime minister of israel here with us tonight. [applause] but before i introduce him, i want to first recognize a few very special guests from israel who joined us. defense minister, edhud barak. [applause] [applause] minister of national infrastructure. [applause] and the prime minister's wife, sarah netanyahu. [applause] now, while sarah and the prime minister obviously have accomplished a great deal in their lives, perhaps the honor most part of this evening is the one recently bestowed upon their son. he one israel's prestigious national bible competition. [applause] this was quite an accomplishment and quite a distinction, so congratulations to him and to his proud parents. [applause] in his long and distinguished career, the israeli prime minister, benjamin netanyahu, has confronted the challenges facing the jewish state with courage, with passion and with moral clarity. as u.n. ambassador, foreign minister, opposition

because netanyahu, his government, basically slapped joe biden across the face when he was in israel. and dared him and basically said, what are you going to do about it? i'm going to keep building these settlements even though you're against that and you came all the way here to start the peace talks and when netanyahu goes to congress, what does congress do, they totally undermine the president. one thing they were bipartisan on. they undermine our foreign policy, and basically telling netanyahu he is carte blanched to build any settlement he likes and go ahead and ignore our president. it's a terrible idea by the democrats and the republicans. >> because once again catering to the money flow that comes from aipac and other funding sources and -- you know look they've got their constituencies, they've got lobbyists, there are special interests, of course. but what's obvious is that they don't care about the substance of this and they apparently don't care about the peace process. we're supposed to help israel. >> let me jump in dylan. look, people talk about money and the lobbyist i

earlier on capitol hill, netanyahu received a warm welcome. his state has been owe shadowed on his decision to build new apartments on land claimed by the palestinians. >>> d there's fallout of a hit squad murder by hamas in january. it's widely believed it was carried out by israeli agents. now, t british government has taken diplomatic action, as sonia gallego reports. >> reporter: the u.k.'s decision to expel an israeli diplomat, over the forged british passports use to target an official in dubai. addressing parliament, british foreign secretary, david miliband, minted at the affair. >> the government takes this matter extremely seriously. such misuse of british passports is intolerable. >> reporter: the organized crime agency found the 12 forged british passports were copies of genuine documents that were handed over to israeli officials and used in the plot to kill the founder of hamas' military wing. and also implicated that israel's intelligent service, the mossad, was involved. another stumbling block in israeli lations with its allie

netanyahu ben-yoash. now that's my last name.ack a thousand years earlier to benjamin, the mojica. one of benjamin feathers was named shimon which also happens to be the name of my good friend, shimon peres. you see, nearly 4000 years ago, benjamin shimon and their brothers wondered the area. ladies and jenna then comes the connection between the jewish people and the land of israel cannot be denied. [cheers and applause] [cheers and applause] the connection between the jewish people in jerusalem cannot be denied. [cheers and applause] the jewish people were building jerusalem 3000 years ago and the jewish people are building jerusalem today. [cheers and applause] jerusalem is not a settlement. it capital. [cheers and applause] [cheers and applause] [cheers and applause] thank you. thank you, thank you. in jerusalem, my government has maintained -- [cheers and applause] thank you. thank you, you are very kind. thank you. in jerusalem, my government has maintained the policies of every single israeli government since 1967, includi

this week presidentma oba and israeli primeis minter benjamin netanyahu held night meetings. obama believes israel's restraint can bring a solution. kelly? >> yes. so he can tell the arab world that he's doing it so he can cut deals to fence in iran. >> i totally agree that and maybe as you were suggesting, when we were chatting that maybe he's waiting if netanyahu to go. chris: it's all part of a plan to get the iranians. >> yes. and it's the next follow-up to the cairo speech. this goes back a year. netanyahu poked him in the eye and got away with it. and now revenge is a best dish served cold. chris: an italian

njamin netanyahu ended his meeting with the president and the enjoy fomiddle east peace. the big sticking point is the insist anson beating housing in east jerusalem and there is word for the second time in a month that israel has approved more construction there. it's an area palestinians claim for a future capitol. we'll look at this at 7:30 this morning. >>> meantime the united states and russia is looking brighter and should cut the long ange missiles for each country to 1500. they are expected to sign the new pact in prog in two weeks and it could need to be ratified by the senate and russian legislature. >>> a look at the morning other top storie another arrest in a violent case of road rage in virginia. on tuesday virginia state police say a man fired shots at a dump truck on 95 after the dump truck bumped him twice. this happened on 95 south near route 123. the man's 2-year-old daughter was in the car at the time. that man is gabriel poventud. he is charged with attempt murder and child endangerment. and the driver of the dump truck is now charged with attempted m

benjamin netanyahu will be scheduled to meet with president obama. there is deprowing discord .nt, because prime minister netanyahu needs to smooth over bad blood that exists between the obama administration and the government. the u.s. is still the best friend that israel had despite all of the tension between them. netanyahu is in a position to go to the white house contrite because of the slap that israel delivered up side urvingle sam. contrite is not netanyahu's strong suit and if he builds too much that will upset the hawks in his government. that's why netanyahu stood nupt cabinet saying that israel will stand firm on the decision to build 1600 housing units in eastern jerusalem. but you have seen him make concession. secretary of state clinton described themus useful and constructive. >> what are the concessions, mike? >> easing travel restriction in the gaza strip to allow construction supplies in to rebuild homes that were destroyed or damaged and talking about a prisoner release. fatah prisoners only and not hamas. that is a shot in the arm palestinian abbas for the f

secretary of state hillary clinton met with netanyahu today. time for u.s./israeli relations. >>> you may be getting a bigger tax income refund this year. the irs says the average refund is up nearly 10% from a year ago. that's up $266 to an average of $3,036. it's due to the tax ed kricredi last year's economic stimulus package. >>> if you watched msnbc between 2:00 p.m. yesterday afternoon and 1:00 a.m., you saw our health care coverage. some of our viewers compared our coverage with what was listed on the tivo guide. bart stupak, the guide said we were showing conviction, i put fear in your life. when i was interviewing a congressman, the screen told viewers they were watching witness to jonestown. coverage of john boehner "the mind of manson." at the end the guide said viewers were watching "the squeeze." thank you for those who watched this. special thank to everyone who watched msnbc yesterday afternoon and last night. that's our show for this monday. i'm david shuster live in washington. "the dylan ratigan show" is up next. congressman j

netanyahu stayed, had meeting with other folks.e surprised if it was general jones or rahm emanuel, folks involved in and out of the middle east peace process. apparently about 8:30, 9:00, netanyahu said he wanted to meet with the president again. and the president was over in the residence with his family and he came back over and they met for another, approximately, 45 minutes. knowing the israelis we should hear something sooner rather than later. they're usually a lot quicker to talk about their meetings with the u.s. government officials than, frankly, our government is. we're not getting a lot of word beyond that. so, let's see what the body language is today. >> chuck, why not at least a photo op? it's israel, for heaven's sake. what was the idea behind that? >> i talked to plenty of senior officials. i said, are we supposed to read between the lines? i had somebody say, yes. yes, read between the lines. we're not giving them this photo op right now. they didn't do it the last time. you know, part has to do with israel and p

netanyahu says can i have another meeting with the president?ack and they have another 30 minutes. it is intriguing and you have to read the body language. after all of that, no readout or statement. almost no information. that's an indication i think kiran of how tense a lot of this is. the key point is settlements, settlements in east jerusalem. mr. netanyahu is making it clear, digging in his heels and not compromising. >> the white house juggles so many elements of the president's schedule. yesterday he was signing the health care overhaul into law. did he not want this situation to overshadow that? >> they are very different. health care, i would think he would have to say is so huge that was the big day. this relationship with israel is an intense territory and been going on for two weeks. the whole idea of the visit by the prime minister was to pull it back on track and look where we are right now. really no progress. defy ant statement by him when he gave the big speech in washington. and meetings he had with vice president biden and wit

prime minister netanyahu is meeting behind closed doors with his own aides.e know there's staff to staff meetings taking place right now. robert himself said that senator mitchell, george mitchell, who is the special envoy, president obama's special envoy to the middle east, will be meeting with the prime minister sometime today. >> but no progress to report, and probably the worst state of u.s./israeli relations in many years, many decades. it was pretty tense with george herbert walker bush, but this is pretty tough to have no coverage at all. and no briefings from either side. >> reporter: i had somebody describe the meetings last night to me as, well, they were not bad, but they were not good. and that's about the state of where things are. but there's still talk and there seems to be a determination to at least try to come to some resolution of something before he leaves -- before netanyahu leaves washington. >> stay tuned, as they say. chuck todd, thank you very much. of course, watch chuck and savannah guthrie on "the daily rundown" at 9:00 eastern. >>

. >>> israeli prime minister benjamin netanyahu's visit to the u.s. is over without a deal in the dispute over israel's plans to build housing in east jerusalem. president obama and netanyahu held two days of talks over the announcement of plans to build 1,600 new apartments in a traditionally arab held area of jerusalem. there has been no easing of tensions between the u.s. and israel. still netanyahu says he thinks some progress has been made. >>> civil rights icon and activist dorothy height is in intensive care this morning at howard hospital. yesterday was her 98th birthday. she was supposed to be celebrating with friends and supporters they are this morning praying for her speedy recovery. she is president of the national council of negro women and founder of the black family reunion. dr. dorothy height has been a civil rights advocate and educator for more than 75 years. >> what a treasure. we wish her well. >> speedy recovery. >>> still ahead, they were involved in last june's deadly crash. now metro wants to replace some of its oldest railcar

those meetings are. >> will he see prime minister netanyahu before he leaves town? >> again, the conversations that the prime minister and the president are having are ongoing. >> are their plans to expand housing in east jerusalem? do you have any comment on that? >> i asked our team on this. they said they are seeking clarification on that announcement. and i will withhold comment until we have clarification based on questions they have for the israelis. i would say this. i think our position is fairly well known. >> on financial regulatory reform, can you talk about the meeting with dodd and frank and what the prospects are for a bipartisan deal and will you need help from the republicans? >> i think you have seen comments today from senator corker saying he believes there will be republicans that do support financial reform. i think the president had a good meeting with chairman frank and chairman dodd. thanked them both for their work in moving this process through. chairman dodd has a bill now through the committee process. i think the president expects that w

the prime minister netanyahu and i spoke and i suggested a number of concrete steps to take to improve the atmosphere. he responded with specific actions that israel is prepared to take. we discussed a range of other measures. mitchell continue this discussion over the weekend and is continuing to meet with us abbas today. we're making progress. i will be meeting with prime minister netanyahu later today, and president obama will meet with him tomorrow. [applause] we will follow-up on these discussions and seek a common understanding about the most productive way ahead. neither our commitment oracle has changed. the u.s. will encourage the parties to advance the prospects for peace. we commend the government of president abbas and prime minister for the improvements they have made and progress in improving the quality of life in the west. we urge them to redouble their efforts to put an end to violence continue to ensure security and roadblock, an ingrained a culture of peace and tolerance among palestinians. [applause] we applaud israel's neighbors for the support of the peace initiat

i tell you, it was benjamin netanyahu like where is waldo. no one knew where he was. mean he was hanging out in the white house. so flum mexed he leave -- fl flummoxed he leaves for all i know in winnebawinnebago. >> netanyahu is a tough guy. it will make him angry the way he's being treated but it won't upset him too much. the fact of the matter we are showing our amateurishness every time we do this. this president can't get through his head the actions have consequences. >> neil: he must have thought those through and figured i know how it will reverberate here and i know how it will reverberate in israel. that is the lesson i want out there. what do you make of that? >> maybe but it reverberates in iran and other places that don't like the iranians. one day they will say those americans who were supportive aren't supportive anymore. maybe we can do something and he is playing with dynamite and doesn't understand it. you'd think after almost two years in office he'd understand it. but he doesn't. i listened to you talking about what is going on with nasa. the count

) >> brown: secretary of state clinton followed that with an heated phone call to prime minister netanyahu, demanding that israel put forward specific new measures to show it's serious about the peace process. in israel, since the settlement announcement, palestinian protesters have repeatedly clashed with israeli forces. and jerusalem residents have weighed in. >> ( translated ): we expect netanyahu to implement the principles upon which he was elected. he was elected in order not to and to create more chances for give or hand out anything. >> mr. obama has to press, to apply pressure on israel, especially on netanyahu, to stop evictions and demolishing houses in east jerusalem. >> brown: american jews have also offered sharply different views. jeremy ben-ami, head of j street, a recently-formed advocacy group that supports a two-state solution with a shared jerusalem, supported the obama administration's stance. >> it can't be stated too clearly to the israeli people and to the government that a direct slap in the face to the vice-president of the united states, when he's come to the cou

obviously the meeting between president obama and netanyahu was a meeting between the two of them.srael and the u.s. have a complex relationship at present. we both have the same strategic challenges, iran, al qaeda, that bust in saudi arabia fits into the kinds of threats we're facing as well. but at the same time, unfortunately, we've seen a sharp break in the policy of the obama administration from past administrations on the question of jerusalem. jerusalem is a city where we have a jewish majority. we've had a jewish majority since 150 years ago in the mid 19th century. israel needs to supply housing to all its residents, arabs and jews alike. we will not discriminate between them. >> is it your understanding, a huge embarrassment for the obama administration as you and others recognizeds the timing as the vice president was in israel, the timing, there would be construction in eastern jerusalem. is it your understanding the friction between the obama administration and the israeli administration they moved beyond that last night and moved into sort of the deeper issues? >> we

the name is netanyahu. now that's my last name.in, dates back 1,000 years earlier to benjamin, the son of jacob. one of benjamin's brothers was named shimon, which also happens to be the name of my good friend, the president of israel. [applause] you see, nearly 4,000 years ago, benjamin, shimon, and there ten brothers roamed the hills of judea. the connection between the jewish people and israel cannot be denied. [applause] the connection between the jewish people and jerusalem cannot be denied. [applause] the jewish people were building jerusalem 3000 years ago, and they are building in jerusalem today. [applause] jerusalem is not a supplement. it is our capital. thank you. in jerusalem my government is maintained -- [cheers and applause] thank you. thank you. you're very kind. thank you. [cheers and applause] in jerusalem my government has maintained the policies of every single israeli government since 1967 including those led by goldamiere. today nearly a quarter of a million jews, that almost half the city's jewish population

netanyahu told lawmakers earlier in the day it's no different than building in tel aviv.start peace talks between israel and the palestinians. jane? jane: san francisco restaurants are putting a surcharge on diners' tabs, all to pay for mandated health care. claudia cowan's on that. >> reporter: hi, jane, that's right. it's not just food and drinks on the menu. under san francisco law, restaurants must provide health care benefits for their workers, and most are passing the costs on to their customers. supporters say this program is providing health care to 50,000 people who don't have health insurance, but restaurants have filed suit claiming this employer mandate violates federal law. jane? jane: foxnews.com is continuing to follow the details on a private security guard that killed a somali pirate. diane's in the newsroom. >> reporter: officials are calling it the first of its kind clash where these guards left two skiffs riddled with bullet holes. as more and more of these guards board merchant ships, we could see more of these attacks, and there are no regulations in

talks last night between prime minister netanyahu and u.s. special mideast envoy george mitchell failed to resolve the matter. netanyahu met twice with president obama. >>> new rules are being implemented to make it harder to discharge a soldier under the military's don't ask, don't tell policy. today defense secretary robert gates will unveil the new guidelines. they call for testimony from a third party under oath, the discharge of unlisted personnel must be approved by an officer holding the rank of at least a one star general. both gates and president obama have called for the law to be repealed. >>> if all goes as planned, the united states and russia will sign a new nuclear arms treaty in two weeks. it was agreed to wednesday. it limits the number of nuclear warheads for each side to about 1500. it also reduces the number of missiles and bombs that deliver the weapons. the treaty must be approved by congress and the russian parliament. >>> dramatic new video of a volcano in central iceland, this one of several located under a glacier. 6

thus far, the netanyahu government has agreed only to slow the growth of that building. still, the israeli prime minister said he had not known of the pending announcement, and a spokesman apologized for the timing, if not the substance. >> but we have to be clear-- the west bank is the west bank and jerusalem is jerusalem. jerusalem is our capital and will remain as such. >> suarez: back in tel aviv yesterday, vice-president biden sounded more conciliatory. he said, "sometimes only a friend can deliver the hardest truth". and he argued both sides stand to gain from talking >> building peace and security between a jewish democratic state of israel and a viable independent palestinian state is profoundly in israel's interest, if you will forgive me for suggesting that... ( applause ) i have learned never to tell another man or another country what is in their own interest, but is seems self evident. it is also profoundly in the interest of palestinians. >> suarez: the palestinians sounded less than sure about the next step. after meeting with mr. biden on wednesday, presi

i think the administration thought that netanyahu's administration or coalition or whatever you wantrious about negotiations, and that some of the generals have indicated, our generals, that that really does harm us from a natiol security perspective at this point. >> mark? >> let's establish this -- joe biden, an unequivocal supporter and enthusiastic admirer of the state of israel, our ri -- arrives to announce that they have abbas and the palestinians on peace talks with george mitchell on the serial basis. netanyahu either did not know about this or did not override his decision to announce these 1600 units being built at this time, incredibly provocative. it is not just on weiss -- not just unwise, and it is essentially an outbreak is to embarrass and humiliate your no. 1 ally and protector in the world, arriving in a country, as the israeli government did through these actions. to me, the anxiety and apprehension you detect among israeli supporters in the united states is understandable, that the relationship is changing and is under a new pressure. >> but here is what is myste

does netanyahu buy a two-state solution? he is begrudgely buying it?> i don't think he necessarily buys it. he is willing to stall and pretend he buys it. i don't think he buys it. >> in fact, no, he doesn't buy it. u.s. interests are to work closely with the arab states. the feeling of this administration is netanyahu's policies undermine american interests in the region and with the arab world. >> yeah. >> he is actually hurting his own security by undermining arab support. >> obama has to be careful because support for israel in the united states according to the polls is about as high overall as it has ever been. >> i know. i know. >> that is because of the "war on terror." that is the main reason. >> thank you. >>> when we return i'm going to have thoughts about the brother who wasn't there in the east room of the white house where president obama signed health care into law today. teddy kennedy. you are watching "hardball" only on msnbc. for every online equity trade. you want more? now trade ishares etfs online for free. 25eading choices. all co

netanyahu refusing to change his position today. this news coming hours before netanyahu's trip to the united states for high level meetings with the obama administration. fox news alert. we are told that debate has begun on the house floor of first of three critical health care votes it is getting underway and this is it a vote. debate on the vote for the rule. the rule may sound boring but it is important. it sets up the peremeters of the big votes that we will watch after that is the vote on the senate bill and vote on democrat reconciliation. they will fix all the things they don't like in the senate bill. as we watch it get underway. protestors outside of the capitol build word that there was one inside of the capitol. this is the description that we are getting from those on the scene. congressman barney frank came out to give reporters a run down of what happened in the chamber. a man stood up and shouted kill the bill. according to frank that man was encouraged to continue by several republican members and then the man was e

are there any indications that netanyahu is backing down and accepting these demands?hat the settlements will go forward, at least these settlements. he apologized for the timing of the announcement. but the real question, wolf, and that's the next chapter here, is benjamin netanyahu is supposed to return the call, or at least get back to secretary clinton, with the answer to some those demands. she wants steps that show that israel is committed to the peace process. they also are saying that they want signs from the palestinians. but it's really a message to israel. so, we are awaiting that. and it could come very soon. >> we'll see what happens. we invited, by the way, the israeli ambassador to the united states, michael ornith to join us here in the "situation room" tonight, and he declined our invitation, but maybe he'll come later in the week. we've got some good questions we'd love to ask him. jill dougherty doing some good work for us, as usual, at the state department. thank you. >>> will osama bin laden ever appear in a u.s. courtroom? no, according to the att

the issue of the settlements hasn't been resolved, there's been no stepping back by benjamin netanyahu. the idea is to get the parties talking. before the flap started about two weeks ago, they were going to have what are called proximity talks, indirect talks. now those are in jeopardy. the real question is will there be any type of negotiations, will the two parties sit down and where does the peace process go? >> jill doherty tonight and ed henry. many thanks. we appreciate it. we will be updating you when there is a breakthrough. still ahead, the newest political odd couple, how an explosive issue brought two former rivals together for the legal fight of their lives when we come back. it's great. i eat anything that i want. key lime pie, pineapple upside down cake, raspberry cheesecake... ...yeah, every night it's something different. oh yeah yeah...she always keeps them in the house. no no no, i've actually lost weight... i just have a high metabolism or something... ...lucky. [ wife ] babe... ♪ umm, i gotta go. [ female announcer ] 28 delicious flavors at around 100 calories each