The Likud Party today submitted a bill for dissolution of the Knesset, the first move towards long-predicted early elections. The motion could pass next week and lead to dissolution by May 13; Likud reportedly wants the elections to be held on September 4, and Labor, Yisrael Beitenu and others agree; other parties reportedly favor August 28, and Kadima, which actually has the most seats is said to favor September 16.
In any event, as had already seemed increasingly probable, it's clear Israel is about to move into an election cycle. This will obviously have implications for tensions with Iran, and probably for the US election cycle as well. More on those subjects as things get rolling.