Trump released what he is charitably calling a peace plan for Israel and the Palestinians. Essentially, the plan gives Israel everything they want and screws over the Palestinians about as hard as it could have.
Needless to say, the Israeli's love this plan, because they get everything they want. The Palestinians have dismissed it out of hand because it is stupid on the face of it.
The people around Trump obviously know this plan isn't going anywhere. It is a political stunt. It will help to bolster Netanyahu who just got indicted for corruption and is desperate to hold onto power to avoid going to prison. It will bolster Trump in certain evangelical and Jewish circles. But it has no chance of actually bringing peace. I mean the level to which the proposal is insulting to the Palestinians is likely to prompt an escalation of tensions. There's a decent chance this "deal" will make things worse.
But i'm honestly not sure if trump is smart enough to understand this plan isn't going anywhere. He might know it is just a stunt for a few cheap political points. Or he might honestly believe that he is some kind of brilliant statesman who can solve the issues of the middle east by picking sides and pissing people off. If the people around him told him that was what this was, he would probably believe it.