Quds (JERUSALEM), Shawwal 06, 1431, Sept 15, SPA -- U.S. Secretary of State Hillary Rodham Clinton on Wednesday said Israeli and Palestinian leaders are «getting down to business» on core issues of renewed peace talks. Hillary Clinton was in Jerusalem for a second day of talks aimed at ending the impasse, a day after meeting Netanyahu and Palestinian President Mahmoud Abbas at a summit hosted by Egypt. «They are getting down to business and they have begun to grapple with the core issues that can only be resolved through face-to-face negotiations,» Hillary Clinton told reporters. «I believe they are serious about reaching an agreement that results in two states living side by side in peace and security.» She made no mention of the settlement dispute, but acknowledged that many obstacles remain. «We are convinced that the legitimate aspirations of these two peoples are not incompatible,» Clinton said. «We are also convinced that peace is both necessary and possible and that this is a moment of opportunity that must be seized.» President Barack Obama has made his pursuit of a Mideast settlement a centerpiece of his foreign policy. After months of U.S. shuttle diplomacy, he summoned the Israeli and Palestinian leaders to Washington early this month to formally launch the first direct negotiations since talks collapsed in 2008 following Israel's military offensive in Gaza. Obama hopes to forge a deal within a year, the Associated Press reported.