Washington  - The White House has played down the possibility of a breakthrough in the Middle East peace process when President Barack Obama meets with his Israeli and Palestinian counterparts in New York on Tuesday.

Obama plans to hold meetings with Israeli Prime Minister Benjamin Netanyahu and Palestinian President Mahmoud Abbas before hosting a three-way gathering on the sidelines of the opening of the UN General Assembly.

"We have no grand expectations out of one meeting except to continue ... the hard work, day-to-day diplomacy that has to be done to seek a lasting peace," White House spokesman Robert Gibbs said Monday.

Since taking office in January, Obama has moved swiftly to resolve the Israeli-Palestinian conflict. But progress has been slow. The meeting between Abbas and Netanyahu will be their first since the latter came to power in March.

The meetings will take place despite demands from Abbas that Israel halt all settlement activity in disputed lands before high- level discussions begin. Netanyahu has refused as his government has approved fresh settlement building.

Obama's special envoy, former senator George Mitchell, has made multiple trips to the region, including one last week, but has been unable to persuade both sides to overcome differences toward restarting high-level talks.  dpa