According to exit polls in Israel the Prime Minister has won, but his party has lost seats and a centrist party may turn out to have the second highest showing (and their leader is no wallflower). Bibi is going to have a bit of a dust up on his hands to hold on to Likud’s leadership (the fur is flying I am sure behind closed doors).
Many (myself included) thought the lack of progress in peace talks and the continuing violence in the region would depress the voters and result in a national shift further right, which would be a long term disaster for Israel. However, it seems that there may be some hope for a less aggressive and counterproductive government there, and that is good news. I’d like to see a similar level of sanity on the Palestinian side.