In Tehran, Iran, Turkey close 2 days of general talks on their bilateral strategic relations. (ATL 12/29 in WNC 12/30)
Israel frees 26 Palestinian prisoners to mark Ramadan. The PA says the small number of prisoners is proof that Israel is not serious about negotiations. (NYT, WP 12/30; al-Quds 12/30 in WNC 1/2; JP 1/7)
Israel approves construction of more than 50 new housing units in 2 Golan Heights settlements. Syria says it "is a step that cannot be categorized under good intentions." (WP 12/30)
The IDF demolishes a shrine at the grave of Baruch Goldstein, who murdered 29 Muslims in Hebron's al-Ibrahimi Mosque in 1994. 10s of settlers attempt to block the soldiers. (NYT, WP, WT 12/30)
Israeli police arrest an Israeli Arab as he tries to enter al-Aqsa Mosque carrying a submachine gun and bag of ammunition. (NYT 12/30; WT 12/31)