This article sums it up pretty well:
The humiliation of Barack ObamaSooner or later, it's going to happen. Most likely, the moment will come just before his first head-of-state meeting in New York. Or perhaps it will happen just before his first side-bar meeting with Binyamin Netanyahu. Or then again, it may come as the cumulative reaction to a series of embarrassing encounters with fellow world leaders. But the moment will come.
At some point this coming week, during his visit to the this year's opening of the United Nations General Assembly in New York, US President Barack Obama is going to have a nearly irresistible urge. He is going to want to stand up to his hovering political handlers and the smothering bureaucracy which tries to dictate his every move, summon his personal dignity, and say "Enough".
We all know what the Americans have been saying: That what President Mahmoud Abbas (Abu Mazen) is doing is counter-productive, that it is a repudiation of the Oslo Accords, that it is an attempt to avoid the necessity of reaching a negotiated solution with the Israelis. We have seen the US policy juggernaut gearing up, as the same arguments are repeated by US envoys to the Palestinians and to the Quartet, elaborated publicly by the secretary of state and by the White House spokesman, and delivered in dozens of other fora, both great and small.
However, repeating the same thing, loudly and insistently, does not make it so. President Obama knows this very well. He understands the Israeli-Palestinian issue backwards and forwards. He knows the peace process is at a dead end.
Early in his administration, he tried to revive negotiations by mandating a complete West Bank settlement freeze, only to be forced embarrassingly by Israeli Prime Minister Netanyahu to back down. When this past May he had the temerity to publicly tell the Israelis that their current policy towards the Palestinians is untenable and unsustainable, and to modestly suggest a negotiating formula to break the impasse, he was publicly chastised by Netanyahu and had to submit to the humiliation of seeing the Congressional leaders of his own party repudiate him in favour of the Israeli prime minister.
In response, though he cannot admit it, Obama has washed his hands of the Palestinian issue. He knows he can do nothing more. And yet, the issue will not go away.
Now, once again, he is being forced to publicly support an Israeli policy position fundamentally opposed to his own. He knows fully well that Netanyahu has no intention of permitting formation of a viable Palestinian state, and that the Palestinians have little choice but to pursue their current course at the UN.
He likewise understands that the US' lonely support for Israel and the inevitable US veto of the Palestinians' bid for full UN membership will undermine, perhaps terminally, the US position in a democratising Middle East, and will expose the US' nominal support for popular Arab rights as a fraud.