May 14, 2008 Bush celebrates Israel's 60th birthday Play video

(NECN/ABC) - President Bush is in the Middle East for the second time in four months. Mr. Bush is checking up personally on the progress toward peace between Palestinians and the state of Israel, which is celebrating a birthday.

President Bush is in Israel to celebrate 60 years of Israel's existence and 60 years of a crucial strategic alliance.

President Bush: "We consider the Holy Land a very special place and consider the Israeli people our close friends, Shalom."

The President is also here to check up on his peace process.

Israelis and moderate Palestinians have been set an ambitious target: agree to the terms of a peace deal by the time the Bush Presidency ends. He still believes it's possible.

But his Israeli partner, Prime Minister Ehud Olmert, is in trouble, beset by corruption allegations and heading an increasingly shaky coalition government.

There is little sign of progress in the talks so far.

And not everyone wants peace. In Gaza today, Hamas leaders condemned the visit and Israel, saying they would never recognize its existence.

There was more fighting there today.

But for the President today the emphasis is on celebration. He will attend a conference organized by President Shimon Peres called "Facing Tomorrow" -- where he is expected to reaffirm American support for Israel's next 60 years.

ABC's Simon McGregor Wood reports from Jerusalem.