Yet away from this disagreement, ties between the two countries appear as rosy as ever.
"Israel is not going to be abandoned by Obama," said Hillel Schenker, Vice President of Israeli Democrats Abroad.
"Every presidential administration, whether Democrat or Republican, will continue to maintain what is known as a 'special relationship' with Israel," added Schenker, who co-edits the Israel-Palestine Journal.
The analysts agree this bond is unbreakable and its foundation goes far beyond any particular political difference.
"Both America and Israel are immigrant societies, which have created a new nation out from people that come from different parts of the world. The United States is considered a Judaeo-Christian society, which relates to the Holy Scriptures; and, of course, geopolitical strategy -- the United States has an ally in a very important region," Schenker suggested as the key reasons for the US interest in the relationship.
Palmor offered several key reasons why strong ties are paramount for Israel. One is that the Jewish state is a small country and needs support from individual nations and alliances abroad.
Another reason is that peace between Israel and its neighbors can only come about strongly supported by a world power, said Palmor, maintaining it was because of Washington's wholehearted backing that peace treaties were signed with Egypt and Jordan and talks were held with the Palestinians and Syria.
"The importance of this relationship is also in the very deep commitment of America to do everything it can to promote peace in this region," Palmor said.
However, when it comes to the nitty-gritty of negotiations and diplomacy, all of this counts for little.
The Obama team does expect to see movement from Israel, beginning with Netanyahu's Sunday speech. To that end, special envoy George Mitchell has been in Jerusalem and Ramallah this week, including a four-hour meeting with Netanyahu.
Diplomatic sources in Jerusalem told Xinhua that for the time being, despite the pressure, Netanyahu intends to stick to his guns by defending his settlement policy and not talking up the idea of a two-state solution.
Instead, much of his speech is likely to focus on Palestinian obligations, two of which were referred to in Obama's Cairo speech: ending violence and building credible governmental institutions.
Palmor reminded those who suggest Obama's speech was one-sided given his multiple demands on Israel, that two days later in France, the US president told reporters they were putting too much emphasis on Israeli obligations and not enough on what the Palestinians must do.
In Cairo, Obama insisted that the parties make public what they say in private, adding that was also his intention.
Yet the feeling amongst reporters who cover the Israeli-Palestinian issue is that most of the battles will be fought behind closed doors and the media will be as dependent as ever on leaked information and disinformation to continue to provide splash headlines, which will not always accurately reflect the reality on the ground, including the nature of the relationship between Israel and the United States.
(Xinhua News Agency June 11, 2009)