The US Administration has strongly condemned the Israeli decision on new settlements in East Jerusalem. In a statement US Vice President Joe Biden, who is travelling in the region, said that this decision would sharply undermine confidence building measures between Israel and Palestine on finding a lasting solution to conflict in the region. Biden observed that one must build an atmosphere to support negotiations, not complicate them White House Press Secretary Robert Gibbs said Israel's decision runs counter to the very productive talks that the Vice President was having in the region.