In Israeli Prime Minister Benjamin Netanyahu’s speech today he took one major step toward the Obama administration, by endorsing a Palestinian state. In every other way, he resisted President Obama’s pressure.

First, he refused a “settlement freeze” and President Obama’s insistence that Israel “stop settlements” (whatever that means) and instead stuck with the Bush-Sharon bargain on settlements. He referred to two aspects of that bargain (no new settlements and no confiscation of land in the West Bank for settlements), but it can be assumed that he’ll stick as well to the other two parts of the deal (no financial incentives for settlers, and construction only in already built-up areas). He specifically referred to the need for settlers to lead normal lives in their communities, which can only mean that some construction will be permitted.