After I wrote it I saw this from Elliot Abrams' blog:
This is amazing language for a diplomat: “folly,” “illegitimacy,” “devastates,” “corroded,” and so on. It’s hard to recall such a vehement statement against Israel, nor one that contains so many conclusions that are, to say the least, highly debatable. Has construction in and around Jerusalem or in Ma’ale Adumim, for example, “undermined Israel’s security?” Given that the Israelis and Palestinians concluded the Oslo Accords and the numerous other agreements while construction activity was far greater than it is today, what is the basis for saying that it “devastates trust?” No doubt the Administration decided that as it had vetoed it would “make it up” to the Arabs with this statement. But emotive language such as Amb. Rice employed serves no purpose. Arab newspapers will headline the veto—assuming of course that they have space in their pages tomorrow after covering the revolts in Tunisia, Yemen, Algeria, Libya, Bahrain, and Egypt—and are very unlikely to cover her speech. Only Israelis and supporters of Israel in the United States will study her language, and remember it.Exactly. In fact, none of the Arab media I can find is even mentioning Rice's tirade and instead are just concentrating on the veto:
So, the Administration emerges having damaged relations with both the Israelis and the Palestinians. Decades of American experience at the United Nations proves clearly the “folly” of such diplomatic action, which “devastates trust” in the United States and therefore “corrodes hopes for peace and stability in the region.” Next time, say you’ll veto, veto, and leave it at that. The United States will end up with fewer angry friends and fewer gleeful enemies.