Who funds the Palestinians? Well, for years, the EU has supported the Palestinian Authority, despite discovering at one point that its money went directly into terrorists' pockets, or, as is the case now, that it helps to fund Palestinian textbooks inciting hatred against Israel. The EU has already provided 256 million euros this year (around $380 million), and just announced that it will add another 40 million euros ($60 million) to cover salaries for government workers.
But something far more bizarre just happened. It turns out that Israel is now sending funds ($23 million so far) directly to Hamas, perhaps in response to U.S. pressure. Technically the money, which is Palestinian tax revenues withheld by the Israelis, is intended for Fatah employees of the Palestinian Authority in Gaza. Why anyone should expect it to reach them is a mystery. Meanwhile, Hamas has unveiled a more powerful missile with which to bombard Israel. See Rachel Ehrenfeld's article here.