Yeah, yeah, anyway...
Obama is really scoring point with the European opinion there, as well as with the north African opinion, smooth diplomatic move. That will certainly reduce the anti American sentiment. Israel's abuse on Palestinian, now widely criticized in Europe, were put on the back of American, given that they seemed to always support Israel, no matter what happened.
Virex, you need more informations, because yours are outdated : I know poeple that have first hand account of the events taking place there and he situation is nowhere like what you're saying. Long story short the Israeli's abuse the Palestinian whenever they can, and the Palestinian respond with terrorism. Of course the Palestinians describe themselves as victims fighting back a bully and the Israeli's as innocent punishing a dangerous criminal who shall kill them given the chance. Both side fight heavily anyone who want peace.
Luckily there are numerous Palestinian and Israeli's who want peace, but they are picked on by extremists.
Israel is to blame right now, given that they are abusing their position of power, when they should use it to establish peace.
Obama is right in ordering hem to make peace and to make concessions.
Edit : as usual I used Israeli and Palestinian to design sometime a significant a part of their populations, all of them or the administration, depending of the context.