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Edition: U.S. Article Comments (0) Save Email Print Reprints Most Popular Most Shared Depressed? You must like chocolate 26 Apr 2010 New Arizona law forcing hard choices on migrants 26 Apr 2010 Goldman fends off accusations of exploiting bubble | Video 4:26pm EDT Police barred from penis enlargement 23 Apr 2010 Mexico warns citizens may be "harassed" in Arizona 12:38pm EDT WRAPUP 6-Thai govt vows action as red shirts block trains 2:47pm EDT Police seize Gizmodo's computers over iPhone prototype 11:33am EDT Lawsuit exposes Wal-Mart to billions in potential damages 8:47am EDT Pirates rewrite script for Apple's China iPad launch 26 Apr 2010 S&P cuts Greek debt to junk, downgrades Portugal | Video 4:09pm EDT Depressed? 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Full Article Video: Iran tests missiles Netanyahu sees new talks with Palestinians Allyn Fisher-Ilan JERUSALEM Tue Apr 27, 2010 3:43pm EDT Related News Israel's Netanyahu sees new talks with Palestinians 1:09pm EDT Obama assures Israel's Barak of U.S. commitment Mon, Apr 26 2010 Netanyahu moves to keep Likud far right at bay Mon, Apr 26 2010 Israeli opposition sees Jerusalem settlement freeze Mon, Apr 26 2010 U.S. envoy wraps up Mideast visit, back next week Sun, Apr 25 2010 A Jewish settler (L) gestures as he speaks to an Israeli border police officer (C) during the demolition of makeshift structures in the unauthorised outpost of Ramat Migron, near the West Bank city of Ramallah April 27, 2010. Credit: Reuters/Ronen Zvulun JERUSALEM (Reuters) - Israeli Prime Minister Benjamin Netanyahu said Tuesday that Palestinian President Mahmoud Abbas "intends" to renew stalled peace negotiations, suggesting a breakthrough was possible after months of deadlock. World In a speech to his right-wing Likud faction in Tel Aviv, Netanyahu said talks with the Palestinians, which the United States has sought to convene, may resume as soon as next week. Netanyahu also said he would visit Egypt, the first Arab country to sign a peace deal with Israel, for talks with Egyptian President Hosni Mubarak Monday. U.S. President Barack Obama's Middle East envoy, George Mitchell, has been pushing the two sides to resume negotiations that have been stalled since the three-week Gaza war that began in Dec 2008, on an indirect basis or so-called "proximity" talks. Mitchell held three days of talks with Israeli and Palestinian leaders during a visit last week. Netanyahu said he had "heard with satisfaction" that Abbas "intends to renew the talks. I will be very glad if this will indeed by carried out next week." He did not say where he had heard Abbas say he was ready for new talks, nor was it clear exactly what venue was envisaged, or whether any progress toward a deal was in sight given the wide gaps that remain on core issues such as Israeli settlement policy in Jerusalem. 'FINAL ANSWER'? Nabil Abu-Rdainah, a senior aide to Abbas, told Reuters the Palestinian leader had asked an Arab League panel "to agree upon a final answer" to Mitchell's proposals for indirect talks mediated by Washington. He had no further comment. Mitchell is expected to visit the region again in the coming days. Abbas had long insisted Israel freeze Jewish settlement building before the talks resume, and had rejected a temporary hiatus in construction ordered by Netanyahu last year as insufficient. But Palestinian sources said Sunday that Mitchell had offered them, in exchange for holding indirect contacts with Israel, an unwritten commitment to assign blame publicly to any party that takes actions which compromise the negotiations. The formula appeared to envisage a situation in which Israel could quietly delay implementing housing projects in and around East Jerusalem -- construction which Washington has said could jeopardize peacemaking -- without declaring a freeze. Jerusalem is a key issue in the conflict. Israel sees the city as its indivisible capital. It captured Arab East Jerusalem in the 1967 Middle East war and annexed it in a move that is not recognized internationally. Palestinians want the city to be capital of a future state and fear that Israeli settlement will hinder the creation of a viable entity. Netanyahu was speaking ahead of a party vote Thursday, in which he hopes to delay a leadership battle with a far-right faction whose opposition to compromise on Jerusalem highlights the political pressure he faces from pro-settler hardliners. Netanyahu insisted Israel would continue to demand that Palestinians recognize the right of a Jewish state to exist, but criticized his rightist adversaries as an "extremist minority," and said: "We aren't against peace, we are in favor of peace." (Additional reporting by Ali Sawafta in Ramallah) World Add a Comment *We welcome comments that advance the story directly or with relevant tangential information. We try to block comments that use offensive language or appear to be spam and review comments frequently to ensure they meet our standards. If you see a comment that you believe is irrelevant or inappropriate, you can flag it to our editors by using the report abuse links. Views expressed in the comments do not represent those of Reuters. More from Reuters Greece woes, Goldman case sink Wall Street NEW YORK (Reuters) - U.S. stocks tumbled on Tuesday as downgrades of Greece and Portugal fueled fear about euro-zone economic stability, and a grilling of Goldman Sachs on Capitol Hill heightened the possibility of financial reform. Goldman fends off accusations of exploiting bubble | Video S&P cuts Greek debt to junk, downgrades Portugal | Video Senate faces fresh vote on bank rule reform Confidence up, home prices rise on annual basis Now comes the hard part for fiscal commission » More Top News Goldman execs face grilling Goldman Sachs executives defended themselves at a Senate hearing against SEC fraud charges, and denied any wrongdoing. Live Coverage | Full Article No bet against clients: Blankfein Document: Blankfein's testimony Tourre: I didn't mislead anyone Document: Exhibits in Goldman case Infographic: The Goldman case Goldman Sachs S&P cuts Greek debt to junk Standard and Poor's slashed Greek debt to junk status and markets tumbled as investors worried political pressures could block a multi-billion euro bailout of Greece. Full Article Factbox: Emergency loans for Greece Contagion fears unfounded: Nowtny Merkel's tough love Felix Salmon: Too late to save Greece? 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