US suffered 'humiliating defeat' in ME

Leader of the Islamic Hamas movement Ismail Haniya says the United States has suffered a 'humiliating defeat' in the Middle East.

During a ceremony honoring memorizers of the holy Qur'an, Ismail Haniya said the US has been engaged in an indirect war with the Palestinians but its plots have been foiled due to the resistance and courage of Palestinian nation.

Referring to the recent remarks by Israeli Prime Minister Ehud Olmert, Haniya said the Zionist dream for a greater Israel was shattered as a result of the resistance against occupation.

Earlier this week, the outgoing Prime Minister Ehud Olmert said that the idea of "Greater Israel" is dead.

"There is no such thing as that anymore. Whoever talks in those terms is only deluding himself", Olmert admitted at a cabinet meeting.