"God is weeping over President Donald Trump's inflammatory and discriminatory recognition of Jerusalem as the capital of Israel", Tutu, an outspoken advocate for Palestinians, said.
The recognition of Jerusalem as Israel's capital by Trump sparked a wave of outrage in the Arab world, even though he still signed a six-months waiver which has delayed the relocation of the embassy to Jerusalem since a 1995 Congress vote in favor of the move.
"After expressing that opinion, I said that such a statement was too inappropriate to create a momentum or a new process", said the French head of state, adding that despite his stance on the matter, he had left Trump to take the best solution.
The Muslim mayor of the Israeli city of Nazareth, which has a large Arab population, has chose to cancel some Christmas events, blaming U.S. President Donald Trump for souring the holiday following his controversial decision to recognize Jerusalem as the capital of Israel.
The announcement to move the US embassy to Jerusalem was, meanwhile, hailed by other groups, including 250 prominent Israeli rabbis who issued Trump the biblical blessing that God gave to Joshua.
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The Muslim-majority town, in what is now Israel, is believed by Christians to be the place where Jesus Christ was raised. It is also one of the key elements of contention in the Israel-Palestine peace talks.
Palestinian Christians inside Jerusalem itself had called on Trump not to go through with the move.
"Our message is we love Jerusalem, we'll never abandon you under any circumstances", he said at a press conference in which he announced that singing performances on outdoor stages that are normally part of Nazareth's Christmas Market would be cancelled.
Nazareth Mayor Ali Salam said the United States move "has taken away the joy of the holiday". Christmas events in the city, which is a center of Christian pilgrimage, normally provide a big boost to its economy.