AP does its bit in shaping the way the world looks to millions of readers who don't have the time to double read every word.
The title implies that the negotiations between Israel and Hamas are stuck on this point. Hamas refuses to stop "terrorist attacks." If only Hamas were ready to stop killing civilians, peace would be possible.
Of course, the title doesn't say that, for that would be a lie. AP doesn't lie.
The article itself says what the stumbling block really is:
Hamas has said it wants a temporary truce with Israel. But Israel fears the group will use the lull to rearm and prepare for a new round of fighting.
Barak added that any truce or cessation of hostilities with Hamas should also involve the release of captured Israeli soldier Cpl. Gilad Schalit.
What AP actually says is that Israel is afraid that a cease fire would benefit Hamas, and that Israel refuses to stop killing Palestinian civilians until Hamas releases a captured soldier. Perish the thought that there is a casual link between these two facts.
As more and more countries realize one must talk to Hamas, the Israeli Junta understand that only a major conflagration can prevent a Hamas diplomatic victory. But they need to sell it as Hamas's fault. This is were the press comes in.
I'm not saying that the AP editor is taking orders from the people who pay his or her wages. That would be a lie. The editor is just smart enough to test the wind's direction before taking a piss.