Washington (CNN) -- Secretary of State Hillary Clinton said Wednesday the United States does not support a unilateral move by Palestinians to declare a Palestinian state.
Chief Palestinian negotiator Saeb Erakat demanded international support for a state after Israel announced Monday that 1,300 settler homes would be built in East Jerusalem.
The furor over settlements has torpedoed peace talks between Israel and the Palestinians.
"We do not support unilateral steps by either party that would prejudge the outcome of such negotiations," Clinton said.
"Each party has a very strong set of opinions about the way forward," Clinton said. "There will be no progress until they actually come together and explore areas where there is agreement, and ways to narrow areas of disagreement."
"We have always said, and I continue to say, that negotiations between the parties are the only means by which all of the outstanding claims arising out of the conflict can be resolved."
Peace talks stopped in September when Prime Minister Benjamin Netanyahu allowed a 10-month moratorium on West Bank settlement construction to expire. The Palestinians have refused to return to talks until Israel reinstates the ban.