Abbas: Reach peace agreement by year's end

Palestinian President Mahmoud Abbas pledged Friday to try to reach a final status peace agreement with Israel by the end of the year - but he admitted the goal, set by U.S. President George W. Bush, might not be achieved.

Palestinian officials close to the talks have said some progress has been made on the issue of borders, but the issue of Jerusalem, especially the walled Old City with its holy sites, appears as stuck as ever. (AP)