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Israeli leader in bind after Obama victory

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Israel staunchly opposes the bid, saying differences can only be resolved through negotiations. While the U.S. also opposes the Palestinian initiative, Obama may push Israel to make some concessions to the Palestinians in order to halt the bid and return to negotiations.

“We hope that President Obama’s second term will be a term for peace, stability and democracy for the region, during which we will witness the implementation of the two-state solution, the end of Israeli occupation and the establishment of a Palestinian state,” Palestinian negotiator Saeb Erekat said.

The Obama victory could also play a role in the Israeli election campaign.

Eytan Gilboa, a political scientist at Bar-Ilan University, said Obama could hypothetically side against Netanyahu in the Israeli campaign by signaling support for opposition leaders, though he said Obama would be “ill advised” to do so. More likely, he said opposition leaders would try to make the rocky relationship with the U.S. a key issue during the campaign.

Gilboa said the Obama reaction might even draw heavyweight opponents like former prime minister Ehud Olmert back into the race.

In a speech to American Jewish leaders in New York on Wednesday, Olmert, in a possible prelude to a political return, accused Netanyahu of damaging relations with the U.S. “Following what Netanyahu did in the last few months, raises the question whether or not our prime minister has a friend in the White House,” Olmert said, accordingly to a statement from his aide.

“I am not sure of that, and it could be very significant for us at a critical time,” he said. “To my great distress, Netanyahu has turned Israel from an issue that is above all dispute in the American campaign to an issue at the heart of the debate.”

The biggest challenge for U.S.-Israeli relations could be Iran. In his speech to the United Nations General Assembly, Netanyahu said the window to attack Iran was quickly closing, and the world would have to act by next summer at the latest. With Obama expected to step up his diplomatic efforts, perhaps even through direct talks with Iran, tensions could emerge if Netanyahu is re-elected.

Copyright 2013 The Associated Press. All rights reserved. This material may not be published, broadcast, rewritten or redistributed.

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