First, Howard Sachar wrote a history of Israel that we used when I was in Jerusalem, and since then he's written a second volume updating the first. Now, he's going to be somewhat biased, but if I recall correctly, he's less biased than one would expect. Our teacher, Ehud Sprinzak, was long considered a voice of reason in the Israeli government -- he was an expert on "terrorism and right wing extremism" which says a lot -- and he's the one who chose the book, so I have some trust in its objectivity.

For Palestinian issues, I don't know for sure that you want objectivity. There are some amazing memoirs, several of which I have at home and can check the titles on and get back to you with, but I would point you to Ahdaf Soueif's book of essays, Mezzaterra, for a whole host of middle eastern concerns.

Also take a look at this week's New Yorker. There's an excellent article on recent events written by a premier staff writer, and it's probably uploaded at the site. newyorker.com