East Jerusalem can yet become capital of the Palestinian state
Reuters reported an interview with Ehud Barak aired on Al-Jazeera television. Barak said, "We can find a formula under which certain neighbourhoods, heavily-populated Arab neighbourhoods, could become, in a peace agreement, part of the Palestinian capital that, of course, will include also the neighbouring villages around Jerusalem."
This is, of course, no surprise. It's just that the continuing impasse in public covers up what has already been agreed in principle by various negotiators over the past few years.