Jeff Goldberg has the analytic scoop:
I've been on the phone with many of the usual suspects (White House and otherwise), and I think it's fair to say that Obama is not trying to destroy America's relations with Israel; he's trying to organize Tzipi Livni's campaign for prime minister, or at least for her inclusion in a broad-based centrist government. I'm not actually suggesting that the White House is directly meddling in internal Israeli politics, but it's clear to everyone -- at the White House, at the State Department, at Goldblog -- that no progress will be made on any front if Avigdor Lieberman's far-right party, Yisrael Beiteinu, and Eli Yishai's fundamentalist Shas Party, remain in Netanyahu's surpassingly fragile coalition.