Almost 2,000 Israeli's protested Obama's demands for Israelis to refrain from natural growth settlements in the West Bank,and all other territory in question.
There were calls for George Mitchell to "go home", and accusations of Obama as a "racist" as the Israeli protesters gathered in front of the American consulate in Jerusalem.
The outrage from protesters has been aggravated by the fact that the State Department summoned the Israeli Ambassador last week and demanded that all Israeli construction immediately stop on a building project in east Jerusalem.
Netanyahu has made it clear to Obama that Jerusalem is not up for discussion. Netanyahu said on Sunday: "Imagine what would happen if someone were to suggest Jews could not live in or purchase [property] in certain neighborhoods in London, New York, Paris or Rome..."
Many other Israelis find it discriminatory allowing Bedouins to settle on hilltops while removing Jews from hilltops in the West Bank.
Israel has rejected calls from the Obama administration to halt construction in Jerusalem, saying it will not bow to U.S. pressure especially when it concerns Jerusalem.