Two words can describe the Arab world’s reading of the new President Barack Obama: cautious optimism.

The Arab world is relieved to see the dogmatic, belligerent George Bush leave. A man who is responsible for the death of hundreds of thousands of Iraqis and the displacement of millions more. And a man who was justified the massacre of Palestinians and Lebanese.

Though rejoicing that Bush is out, they are cautious toward Obama. His nice words toward Muslims during his inaugural address will win him a honeymoon period, though it will be squandered if the new president fails to at least slightly alter if not “change” U.S. Middle East policy.

With a Iraqi-U.S. withdrawal agreement signed, the Arabs’ first concern will be, of course, the Palestinians tragedy. Arabs are worried that Obama will be as pro-Israel as Bush and Clinton were. Will Obama critics Israel when its actions kill innocent Palestinians? Will he demand that Israel stop settlement building as he demands the Palestinians rein in terrorism? Or will pressure and criticism once again only be leveled at the beleaguered Palestinians? Only time will tell.

After the pro-Likud policies of Bush, Arabs at least are now taking solace in the knowledge that they can at least hope for a while that Obama will deliver a just peace between Palestinians and Israelis; two states living side-by-side in peace with a shared Jerusalem and a compensation package for Palestinian refugees.