PRESIDENT Clinton has pledged that US policy towards Israel will remain unchanged as a result of the election there. However, the presumed defeat of Mr Shimon Peres is a blow for the President who has been a strong supporter of the Prime Minister and his policies.
In a comment on the results before leaving for New Orleans, the President said. "If Israel is prepared to take risks for peace, we are determined to do our best to reduce the risks and increase the security of those who do that."
The Republican presidential candidate, Senator Bob Dole took a more gloomy attitude when asked if a victory by Likud leader, Mr Benjamin Netanyahu, night slow down the peace process. I think it would make it more difficult, at least from the outset," he said.
Speaking before the final results were in, President Clinton said that "whatever the results, the US will continue its policy of support for the people of Israel, for the democratic process there and for the process of peace".
Observers here predict that the relationship between President Clinton and Mr Netanyahu will be strained at first because of the President's previous close relationship with Mr Peres and his predecessor, Mr Rabin. Mr Clinton threw his full support behind the Peres land for peace policy on Israeli settlements on the West Bank and, was largely responsible for the anti terrorism summit in Egypt to help Mr Peres at a critical time.
Mr Clinton tried to play down the policy differences between Mr Peres and Mr Netanyahu concerning land settlement and a future Palestinian state. He said yesterday that both of them "in different ways" made it clear in their campaigns that they were committed to the peace process.
Siona Jenkins adds from Cairo Egyptians greeted the mixture of surprise, uncertainty and dismay.
"This is a slap in the face for moderate Arab countries like Egypt, the Palestinians and Jordan", said Mi, Salama Ahmed Salama, managing editor of the semi official Al-Ahram newspaper.
"It is clear that it will be much more difficult for the peace process to continue", he added.