Reports say that US Secretary of State Hillary Clinton is expected to announce on Friday that Israel and the Palestinians will resume direct peace talks. The New York Times citing two US officials has reported that Israeli Prime Minister Benjamin Netanyahu and Palestinian leader Mahmoud Abbas, have agreed to place a one-year time limit on the talks. US President Barack Obama is expected to invite Netanyahu and Abbas to Washington in early September to start the negotiations, which will address final status issues, including the status of Jerusalem and the right of return for Palestinian refugees. Meanwhile US State Department spokesman Philip Crowley told reporters, that they are very, very close to a decision by the parties to enter into direct negotiations.