01/15/09

* ‘Shelling of UNRWA building was response to anti-tank fire’ Gunshots and an anti-tank missile were fired at IDF troops near the UN compound that was attacked by the IDF on Thursday.

* Rift apparent in Hamas as fighting intensifies Signs of sharp division are appearing within the top ranks of Hamas as fighting with Israel in Gaza intensifies.

* Ban: Death toll in Gaza ‘unbearable’ UN Secretary-General Ban Ki-moon on Thursday called on for an immediate ceasefire between Israel and Hamas.

* Iran signs oil deal with China Iran’s official news agency says the country has signed a $1.76 billion deal with China to develop the North Azadegan oil field in southwestern Iran near the Iraq border.

* Hamas accepts cease-fire ‘in principle’ Hamas announced on Wednesday that it has accepted the Egyptian cease-fire initiative “in principle” and that it was now awaiting Israel’s response.

* Eastern Europeans Appeal For an End to Gas Standoff Russia and Ukraine continued bickering Wednesday over which pipelines should be used to deliver natural gas to Europe.

* China becomes third largest economy China overtook Germany to become the world’s third-largest economy in 2007.

* Iran says U.S. administration must change approach Iran’s president said on Thursday the new U.S. administration must change Washington’s approach to the Islamic Republic.

* Urgent Arab summit in Qatar still not decided Arab League officials announced Wednesday night that they still did not have the necessary legal quorum to convene an emergency Arab League summit in Doha.

* Islamists take bases in Mogadishu The last Ethiopian troops in Somalia’s capital have left Mogadishu, two years after they captured it from Islamists who again control much of it.

The Return of Dennis Ross

By: The Middle East Times

The return of veteran U.S. peace envoy Dennis Ross to his old beat on the Israeli-Palestinian peace process should receive a qualified welcome across the region: Ross and the policies of reconciliation that he can be guaranteed to energetically promote will be a vast improvement on the malign neglect of the past eight years practiced by President George W. Bush.

BACK ON THE PEACE BEAT – The return of U.S. peace envoy Dennis Ross (shown here) to the Middle East can revive hope that the United States will finally make a consistent and forceful effort to achieve Mideast peace, although his record as a peace-broker has sorely lacked positive results. (WENN photo via Newscom)

And Ross, strongly backed by Secretary of State Hillary Clinton, can be counted upon to be far more consistent, competent and forceful in seeking to revive the peace process than was the current Secretary of State Condoleezza Rice’s Annapolis “process” proved to be.

However, exaggerated hopes should not be placed on Ross either. His conduct during the seven years of the Oslo process did not play remotely as well among Palestinians and in the wider Arab world the way it did in the uncritical American press, and with good reason.

During those years, as has been well documented, the rate of settlement of Israelis beyond the 1967 borders actually accelerated far faster, and many more people were settled there, especially in major developments like Maale Adumim, than had been the case during the pre-Oslo governments of hard-liners Menachem Begin and Yitzhak Shamir.

Also, the standard of living of the Palestinians in the territories, especially in Gaza, collapsed during those years. Ross and the U.S. administration of President Bill Clinton that he served made no serious effort either to combat both the corruption of the new Palestinian Authority and the cynical economic war waged upon it by successive Israeli governments.

For all his manic, endlessly energetic efforts and a life that seemed to be lived continuously on the cell phone, Ross notably failed to win the lasting trust and respect of Palestinian leaders.

He will have a much tougher, uphill battle this time when he must contend not only with Mahmoud Abbas, Arafat’s much weakened successor as Palestinian Authority president, but also with the leaders of Hamas, the Islamic Resistance Movement, in Gaza, where they enjoyed the direct support of no less than two-thirds of those voting in the 2006 elections.

Middle East governments should also be warned that during his long career, Ross has shown zero interest in any other issue in the region outside the Israeli-Palestinian conflict and no real familiarity with any of them either.

Indeed, when he served first President George Herbert Walker Bush and then Clinton, he was accused of seeking to sideline knowledgeable and experienced U.S. Foreign Service officers whose expertise might possibly pose a challenge to his monopoly of the secretary of state’s ear on foreign policy issues.

Major, traditionally pro-American leaders like King Abdullah of Saudi Arabia, King Abdullah II of Jordan and President Hosni Mubarak of Egypt can therefore be advised to try and establish their own personal direct links to the new president and secretary of state as soon as possible.

Having said that, at least Ross will be serving President Barack Obama and Clinton rather than Bush and Rice. We should be thankful for that.

Please note: These stories are located outside of Prophecy Today’s website. Prophecy Today is not responsible for their content and does not necessarily agree with the views expressed therein. These articles are provided for your information.

Arabs Squabble as Gaza Burns

By: SANA ABDALLAH – Middle East Times

Nineteen days into a devastating Israeli onslaught of the Gaza Strip, which has killed almost 1,000 Palestinians and sparked angry protests across the region, Arab regimes continued to squabble over whether this war deserves an extraordinary Arab summit to discuss how to stop the bloodshed.

Arabs have been taking to the streets daily to protest Israel’s attacks on Gaza and their own leaders’ inaction. The photo shows protesters burning a photograph of Egyptian President Hosni Mubarak with Israeli Prime Minister Ehud Olmert outside the Egyptian embassy in London on Jan. 2. (AFP)

The diplomatic row between the so-called “moderate” and “resistance” states of the 22-member Arab League is intensifying with the escalation of an Israeli air and ground assault on the Hamas-controlled Palestinian strip, the worst military attack on Gaza since the 1967 Middle East war.

The tiny gas-rich Gulf state of Qatar, hardly a radical regime that hosts the U.S. Military Central Command, took the lead in seeking an emergency summit and, in its third call, said the meeting would be held in Doha on Friday.

The move came despite opposition from powerful Egypt and Saudi Arabia, which insist that a summit without a clear agenda and consensus on what to do would not help bring about an end to the conflict in Gaza.

Reports from Doha said on Wednesday that 16 countries have accepted to attend the summit in the Qatari capital on Friday, after the United Arab Emirates’ agreement to participate had completed the needed two-thirds quorum to convene. Iraq became the 16th country to say it would attend, according to the Qatar-based Al-Jazeera Arabic news channel. But the report was not confirmed in Baghdad.

However, Arab League chief Amr Moussa said the quorum was still not met. “There are only 14 member countries” who have accepted Qatar’s summit call, he said, adding that a final decision on whether it will convene will be taken in the coming hours.

In addition to the host country, the UAE, Morocco, Algeria, Libya, Mauritania, Sudan, Syria, Lebanon, Yemen, Djibouti, Somalia, the Comoros, Oman and the Palestinian Authority have agreed to take part in the high-level meeting, according to the Cairo-based Arab League.

In a meeting in Riyadh Tuesday, visiting Egyptian President Hosni Mubarak and Saudi Arabian King Abdullah made it abundantly clear they will not only stay away from the Doha summit, but did not support the idea at all.

For Cairo and Riyadh, close U.S. allies, holding high-level talks on Gaza on the margins of the ordinary Arab economic summit in Kuwait on Jan. 19 and 20 is enough and another summit was not necessary.

Not so, said Qatar, whose ruler, Sheikh Hamad bin Khalifa al-Thani had said the “war crimes” that Israel is committing against the 1.5 million Palestinians in Gaza require an Arab summit for collective action to pressure Israel to stop the war.

Qatar’s Prime Minister Sheikh Hamad bin Jassem al-Thani told reporters Wednesday his country will take part in the Kuwait meeting and summit, “but the events in Gaza call for a separate summit, and the world should know that the meeting is not merely on the margins of a summit.”

The prime minister diplomatically downplayed the divisions over the issue, saying they were just “differences of opinion.” But in an interview with Al-Jazeera on Monday, he criticized Arab countries acting “on the orders of the West,” in obvious reference to Cairo and Riyadh.

Arab diplomats said that Qatar shelved its initial call for an emergency summit after the Arab foreign ministers, who asked to be given a chance to push for an international resolution to halt the Israeli war, failed to grab a viable ceasefire decision at the U.N. Security Council.

Although Security Council Resolution 1860 was adopted, it apparently lacked a mechanism for implementation and was thus ignored by both Israel and Hamas, prompting Qatar to seek a summit to exclusively deal with the Gaza war, while Egypt unilaterally proposed a cease-fire plan without consulting with the rest of the Arabs.

Arab commentators say the absence of Egypt and Saudi Arabia from the Doha summit, if it is held, will weaken whatever decisions that may be taken at this meeting.

Yet, their outright rejection of it and trying to push the Egyptian cease-fire plan would not only deepen the rift between Arab states, but also between these regimes and the angry anti-Israeli street and opposition groups, who have also aimed their anger at the Arab leaders for failing to take collective political action in support of the Palestinians in Gaza.

The Egyptian plan, which Cairo is still negotiating with Hamas and Israel, has been widely criticized as Palestinian and Arab “surrender” to Israel, while many critics believe that convening the Doha summit might serve Palestinian interests more than the Egyptian-Saudi “plot to liquidate Hamas and the resistance.”

These critics believe the mere fact that a summit for Gaza will be held, even if it fails to come out with clear decisions for political action, would send a message to Gaza’s Palestinians that they deserve the attention of the Arab leaders, and complies with the calls of the masses who have been in the streets of Arab capitals demanding strong positions against the Israeli assault.

Please note: These stories are located outside of Prophecy Today’s website. Prophecy Today is not responsible for their content and does not necessarily agree with the views expressed therein. These articles are provided for your information.

01/14/09

* ‘Bin Laden’ recording calls for holy war over Gaza conflict A new audio message purportedly from the al-Qaida leader, Osama bin Laden, has called for all Muslims to launch a holy war to stop the Israeli offensive in Gaza.

* PM, Barak at odds over ending op Senior officials close to Prime Minister Ehud Olmert expressed veiled criticism at Defense Minister Ehud Barak on Wednesday.

* Hamas agrees to ceasefire in Gaza Hamas has agreed to a ceasefire in Gaza based on Egypt’s proposal.

* U.N. chief: ‘No time to lose’ in Mideast U.N. Secretary-General Ban Ki-moon has once again called for an immediate halt to the fighting in Gaza.

* Rockets from Lebanon threaten 2nd front for Israel Guerrillas in Lebanon rocketed northern Israel on Wednesday for the second time in a week.

* Navy stops Iranian Gaza aid ship again The Navy intercepted an Iranian ship loaded with medicine, food and clothing destined for Gaza.

* Europe baffled by broken gas promises The bitter gas dispute between Russia and Ukraine descended into near-chaos.

* Arabs Squabble as Gaza Burns Nineteen days into a devastating Israeli onslaught of the Gaza Strip, which has killed almost 1,000 Palestinians and sparked angry protests across the region, Arab regimes continued to squabble.

* Report cites need for eurozone central regulator An Organization for Economic Cooperation and Development (OECD) report published Wednesday (14 January) cites the need for centralisation of financial regulation in the euro area.

* Erdogan publicly slams Israel – again Turkish Prime Minister Recep Tayyip Erdogan on Tuesday reiterated his harsh criticism against Israeli Operation Cast Lead.

01/13/09

* Barak: We respect the UN, but we’re continuing with Gaza op Defense Minister Ehud Barak on Tuesday reiterated that the IDF was continuing its offensive in Gaza.

* Israelis strike 60 Gaza targets Israeli planes have attacked more than 60 targets in Gaza as its offensive against Hamas entered its 18th day.

* Israeli leader warns Hamas of ‘iron fist’ Israeli Prime Minister Ehud Olmert stood within Hamas rocket range Monday and warned Islamic militants that they face an “iron fist”.

* Haniyeh: We’ll weigh truce initiatives For the first time since the beginning of the IDF military operation in the Gaza Strip, Hamas on Monday openly signaled its willingness to accept a cease-fire with Israel.

* Gaza war shines spotlight on EU foreign policy The ongoing conflict in the Middle East has served to underline weaknesses in EU foreign policy.

* Bush sticks with Israel until the end In his final press conference before he leaves office next Tuesday, US President George W. Bush on Monday strongly backed Israel in its fight against Hamas.

* Reformists to run in Iranian election Iran’s former reformist president, Mohammad Khatami, on Monday said that either he or former prime minister Mir-Hossein Mousavi would run for president.

* ‘Do to Hamas what the US did to Japan’ Operation Cast Lead must continue until Hamas “loses the will to fight.”

* Russian gas to Europe ‘blocked’ Russian gas giant Gazprom says Ukraine has blocked gas deliveries to Europe, dashing hopes of ending a row which has hit several countries’ supplies.

* ‘N.K. has nuclear weapons, missile systems’ North Korea has developed both nuclear weapons and missile delivery systems.

Hamas Rockets Threaten Global Security

By: Robert Maginnis – HumanEvents.com

Two otherwise unrelated activities represent a serious challenge for the Obama administration: Hamas’ rocket war with Israel and the U.S. decision to equip its Atlantic fleet with more ballistic missile defense (BMD) capable warships. These activities acknowledge a growing missile threat to global security.

But expect the president-elect to put rocket and missile defense systems on hold while he negotiates with terrorists and rogues. Obama said during the campaign he’ll negotiate with regimes like Iran, and he is being urged by advisers to initiate contacts with Hamas.

In contrast, during his campaign, Obama said he “…supports deploying a missile defense system when the technology is proved to be workable.” Even though our anti-missile technologies are maturing they cannot be conclusively “proved” except in war.

We must continue to grow our layered BMD systems because the threat is increasing. Growing our systems should be done in tandem with any negotiations, and to do otherwise would be foolhardy.

The ongoing Israel-Hamas war was ignited by the terror group’s rocket attacks on Israeli cities. Since 2001, Islamic terrorists have used thousands of rockets to attack innocent Israelis rather than rely on suicide bombers which have been — since the Israelis fenced off Gaza — almost entirely thwarted. Therefore, expect rockets to become the terrorist’s weapon of choice, when like in Israel, other means are defeated.

Israel is responding to the terrorist’s rockets by developing a multi-layered “Iron Dome” Rocket Defense System and David’s Sling Missile Defense System which is Israel’s counter-rocket, artillery and mortar (C-RAM) network to defeat Hamas’ aerial attacks. The C-RAM could become operational in the next five years and will be part of a network along side the U.S.-Israeli produced Arrow and US PAC-3 (the newest of the Patriot BMD systems) designed to protect Israel from Iranian ballistic missiles.

Last fall, Israel’s ability to track and intercept ballistic missiles was improved with the addition of the U.S.-provided X-band early-warning radar system.

Fortunately, short range rockets like those used by Hamas to attack Israeli cities haven’t been a problem for the U.S. homeland. That could change if our borders aren’t better controlled and coastlines are accessed by rogues with sea-to-land rockets like the Scud recently tested from an Iranian container ship. America has no C-RAM for the homeland, and one should be developed. However, for now, our primary aerial threat is the emergence of Iranian and North Korean intercontinental ballistic missiles.

The U.S. has 18 Aegis-equipped guided missile warships that can track and intercept enemy ballistic missiles. All but two are assigned to the Pacific fleet and are primed to defend against North Korean missiles. Adding three Aegis capable warships to the Atlantic fleet’s two systems provides the necessary flexibility to counter the growing Iranian threat.

The Aegis systems which have an excellent track record are equipped with Standard Missile-3 (SM-3) interceptors designed to destroy short and medium range missiles on the ascent phase. Since the first intercept test in January 2002, the Aegis BMD has realized 16 successful target missile intercepts in 20 attempts, including two intercepts by two SM-3s during one test. Last year, an SM-3 fired from an Aegis cruiser brought down an errant U.S. spy satellite.

Our 24 ground-based interceptors at Fort Greeley, Alaska and Vandenberg Air Force Base, Calif., are intended to engage midcourse North Korean targets before the warheads re-enter the atmosphere. Eight of the 13 midcourse intercept tests have been successful since 1999.

The U.S. has agreements with Poland and the Czech Republic to install a BMD system in those countries for midcourse intercepts of Iranian missiles. But it appears these agreements may be in political jeopardy.

Shortly after his election, President-elect Obama took a call from Polish President Lech Kaczynski who asked about missile defense. Later, the Polish president said Obama promised to continue the BMD project, but immediately Obama’s campaign issued a rebuttal: “President-elect Obama made no commitment on it [missile defense]” and then restated it until technology is “proved to be workable” position.

That statement suggests the Obama administration may negotiate away the Europe-based BMD to smooth relations with the Russians, who threatened retaliation should the project go ahead. That view may explain the Bush administration’s decision to increase the number of Atlantic-based Aegis as a stopgap measure.

Hopefully, the new president will take the pulse of those who elected him and keep our Europe-based program on track. An August 2008 poll by the Opinion Research Corporation found that 87% of the American public wants our country to have a missile defense system, and 58% thinks there is a real threat from missiles carrying weapons of mass destruction.

Thirty-two countries have deployed ballistic missiles. Of that group, nine have nuclear weapons, nineteen have chemical weapons and eight have biological weapons, according to the Congressional Research Service. The most dangerous members of this club are Iran and North Korea, both of which have deployed hundreds of short and medium range missiles, and they are aggressively growing their programs in sophistication and range.

Recently, Iran tested a two stage solid fuel booster with a range of 1,200 miles, making U.S. troops, the Middle East and Southern Europe vulnerable. But more troubling is Tehran’s August 2008 missile test to place a satellite in orbit. Although not thought to have be successful, the test suggests that if Iran has a missile capable of placing satellites in orbit, it could improve its longer-range ballistic missile capabilities and deliver payloads of weapons of mass destruction to any place in the world.

The sobering aspect of this test was the fact that the rocket, named Safir (Ambassador), uses an indigenously developed propulsion system. All Iran needs to do is extend both the rocket’s range and its payload capability before it is ready for satellites or nuclear weapons. It would also require a re-entry vehicle for any warhead.

A February 2008 United Nation’s International Atomic Energy Agency report found that materials presented to them by western intelligence agencies indicate that Iran’s re-entry design was “… quite likely to be able to accommodate a nuclear device.”

North Korea’s 1998 three-stage 1,200-mile-range Taepo Dong-1 ballistic missile test ignited U.S. urgency to deploy ground and sea-based BMD systems. Those efforts accelerated after Pyongyang’s underground nuclear test and its failed longer range Taepo Dong-2 test in 2006.

The North Koreans continue to develop new and more capable missiles. In 2007, Pyongyang displayed several new missile systems including the Musudan-1, which is based on the Soviet-era SS-N-6. It has a range of up to 2,500 miles and appears to be more maneuverable and accurate than other missiles in its arsenal.

U.S. national security demands that we move forward with a comprehensive rocket and missile defense “Iron Dome” effort because the global threat is increasing.

We need a C-RAM and terminal phase BMD network for the homeland, and our defenses need to increase in mobility and flexibility such as developing and deploying the airborne laser system for the boost phase. But ultimately BMD must move into space where it will be easier and more cost effective to engage intercontinental ballistic missiles.

The Obama administration should make rocket and missile defenses a high priority and deploy them as they prove capable — not perfect. And the new president must not negotiate away our BMD insurance against rogue states like Iran in order to win favor with our erstwhile Russian “friends.”

Mr. Maginnis is a retired Army lieutenant colonel, a national security and foreign affairs analyst for radio and television and a senior strategist with the U.S. Army.

Please note: These stories are located outside of Prophecy Today’s website. Prophecy Today is not responsible for their content and does not necessarily agree with the views expressed therein. These articles are provided for your information.

01/12/09

* Israelis edge into urban Gaza Israeli forces are moving slowly into Gaza’s most densely populated areas, reports say, as they continue air and ground attacks on Hamas militants.

* Bush: Hamas must stop rocket fire if it wants Gaza truce President Bush gave his last press conference at the White House, calling for a cease-fire in the Gaza Strip, but emphasizing Israel’s right to defend itself.

* IDF has killed 400 Hamas operatives According to an army estimate, slightly over 900 Palestinians have been killed since Operation Cast Lead began.

* Blair reappears on shortlist to head EU Tony Blair, the former UK prime minister, is re-emerging as a possible choice to be the European Union’s first full-time president.

* Jordan under Pressure as Israel Presses on in Gaza Jordan has been equally strident in its condemnation of Israel’s attack on Gaza on the popular and official levels.

* Arab parties disqualified from elections Central Elections Committee determines Balad, United Arab List-Ta’al parties ineligible to run in February 2009, on grounds that they don’t recognize the state and call for armed conflict against it.

* Peres says IDF achieving ‘remarkable’ results in Gaza ‘Israel has never had an army that was better trained, organized and sophisticated,’ president tells reservists in Zeelim.

* European cities fill with protests against Gaza war Hundreds of thousands marched in cities across Europe to protest Israel’s war on Gaza in the biggest pan-European demonstrations since those against the Iraq war in 2003.

* EU still waiting for Russian gas Russia has not yet resumed gas exports via Ukraine despite a weekend of frantic diplomacy by the Czech EU presidency.

* Irish poll shows majority support for Lisbon Treaty A new poll suggests that a majority of Irish voters may back the Lisbon Treaty in a second referendum set to be held this year.

01/10/09

* Gaza conflict enters third week Israel has continued to pound Gaza a week after sending in ground troops, despite the UN voicing disappointment ceasefire calls had not been heeded.

* Israel resumes Gaza offensive after lull Heavy black smoke rose in Gaza City, apparently from explosions, during a three-hour lull Saturday afternoon during which Israel was to halt its attacks on Gaza militants.

* Hezbollah warns Israel against sparking conflict Hezbollah warned Israel on Saturday not to use an incident in which rockets were fired from southern Lebanon into the Jewish state.

* Abbas: Israel must accept truce initiative Diplomatic efforts to end the fighting in the Gaza Strip were underway in Cairo Saturday.

* EU: Russia gas supply should restart immediately The European Union has finalized a deal on sending monitors to supervise supplies of Russian gas through Ukraine.

* Ordinary Arabs fume over Israeli invasion Inside Al Azhar Mosque, a 1,000-year-old center of religious learning, the preacher was railing on Friday against Jews.

* ‘UN drafting Gaza plan to reinstate PA’ A day after a United Nations Security Council resolution calling for a ceasefire was dismissed by both Israel and the Hamas rulers of the Gaza Strip, a new plan was being hatched.

* Incoming secretary of state Clinton to name Dennis Ross as top adviser on Mideast, Iran Dennis Ross, a former Middle East peace envoy who served under Presidents George H.W. Bush and Bill Clinton, will in all likelihood be appointed a special adviser for the Middle East.

* Rice: Civilian casualties hard to avoid The United States on Friday expressed concern about the deteriorating humanitarian situation in Gaza.

* China sends envoy to Middle East to ease tensions China’s Middle East envoy will return to the region to push for an end to fighting between Israel and Hamas in the Gaza Strip.

01/09/09

* Olmert: Gaza op to continue, UNSC resolution not practical Despite the UN Security Council resolution calling for a Gaza cease-fire, Prime Minister Ehud Olmert said Friday afternoon that the IDF operation in the Strip would continue.

* Czechs face EU trial by fire over gas, Gaza Dual crises over the Gaza conflict and gas supplies to Europe are proving to be a trial by fire for the European Union presidency of the Czech Republic.

* UN ceasefire call goes unheeded Israel is to keep up its offensive in the Gaza Strip despite a UN call for an immediate end to nearly two weeks of conflict involving Hamas militants.

* Hamas: Abbas no longer heads PA The IDF’s anti-Hamas operation in the Gaza Strip has diverted attention from the row over Palestinian Authority President Mahmoud Abbas’s term in office.

* Merkel and Sarkozy call for global ‘economic security’ council German Chancellor Angela Merkel and French President Nicholas Sarkozy have warned the US not to block attempts to build an international financial regulator.

* UN passes Gaza cease-fire resolution With a surprise US abstention, the UN Security Council overcame intense divisions and overwhelmingly approved a resolution Thursday night.

* Obama camp ‘prepared to talk to Hamas’ The incoming Obama administration is prepared to abandon George Bush’s ­doctrine of isolating Hamas by establishing a channel to the Islamist organisation.

* EU commission considers major relocation in Brussels The area surrounding the Atomium, an atom-shaped structure seen on every Brussels postcard, might become a location for some of the European Commission’s buildings.

* Israeli War on Gaza ‘Killing Peace Prospects’ Despite a U.N. Security Council resolution calling for an immediate ceasefire, the Israeli war on the Hamas-controlled Gaza Strip continued for the 14th day on Friday.

* EU diplomats: Egypt’s refusal to station foreign troops on Gaza border holding up truce Egyptian efforts to broker a Gaza ceasefire appeared on Friday to have to run into trouble because of disagreements with Israel.

01/08/09

* Olmert: Army could step up op in Gaza Israel has yet to exhaust all of its military options in the Gaza Strip and could step up its actions against Hamas if the government decides to press forward Operation Cast Lead.

* At least two Lebanon rockets hit north Israel; Hezbollah denies involvment At least two Katyusha rockets fired from south Lebanon exploded in northern Israel on Thursday morning.

* Sarkozy, Merkel, Blair call for new capitalism The head of Europe’s biggest economy said Thursday that world leaders should be looking at the massive U.S. deficit.

* Hamas Rejects Ceasefire Despite taking heavy losses in the Cast Lead operation in Gaza, Hamas announced Thursday that it rejects an Egyptian-French truce initiative.

* Iran’s Larijani meets Hamas in Damascus A senior Iranian politician met Hamas leader Khaled Mashaal in Damascus on Wednesday as the Palestinian Islamist group considered an Egyptian proposal for a ceasefire in the Gaza Strip.

* Leadership Crisis Emerging in Palestinian Authority A constitutional leadership crisis is looming over the Palestinian Authority as Jan. 9.

* Czechs prepare for possible second Irish No The Czech EU presidency is preparing a contingency plan for one of the most sensitive areas in the EU institutional set-up.

* US to head anti-pirate patrols off Somalia A new international force to battle pirates off the Somali coast is being formed under American command.

* ‘Concentration camp’ remark threatens Pope’s visit to Israel A question mark hangs over Pope Benedict XVI’s planned trip to Israel in May after Israeli officials expressed outrage over a Vatican statement comparing Gaza to a “big concentration camp”.

* Hundreds of thousands rally in Syria to protest Gaza attack Hundreds of thousands of Syrians swarmed downtown Damascus Thursday in a government-orchestrated rally to protest Israel’s military offensive against the Gaza Strip.