An announcement that Israelis and Palestinians have agreed to go into direct peace talks is expected in the coming days, U.S. officials, Mideast watchers and European diplomats said Monday.

“We are close, we are optimistic,” a U.S. official said. “There’s still work to do, details remain.”

One western diplomat said the announcement was expected Monday, adding that both parties are essentially agreeing to go into direct talks based on assurances they have received from the United States.

It is now one year four months and 21 days since the last official talks between Israelis and Palestinians. During those 506 days the parties have repeatedly blamed one another for that breakdown and the failure to reboot negotiations.

Indirect peace talks are expected to resume on Wednesday but Israelis and Palestinians alike are still expressing serious reservations about the chances of their success.

Fox News Network
THE O'REILLY FACTOR 8:00 PM EST
May 5, 2010 Wednesday
Is Media Sympathetic to Terrorist?

O'REILLY: "Impact segment" tonight, the nation is justifiably angry that yet another terror plot was directed at America. But some in the media are disappointed that it was a Muslim allegedly involved. Listen to this sound bite by an NBC News correspondent.

(BEGIN VIDEO CLIP)

For much of the past year as he has shuttled dozens of times to the Middle East and Europe quietly trying to persuade Israelis and Palestinians back to the peace table, U.S. Special Envoy George Mitchell has borne the brunt of criticism of both those offended by the Obama administration’s early pressure on Israel to halt new settlements on the West Bank and East Jerusalem, and others disappointed that Obama failed to follow through when Israeli Prime Minister Benjamin Netanyahu refused to stop the new construction as a precondition for negotiations.