For Reuters, Palestinians are Arabs; Jews are settlers

In a new fallacious "FACTBOX", Reuters Bureau Chief, Alastair Macdonald, offers us some of the "competing visions" for a settlement to the Middle East conflict.  In a section headlined "Who are the people?", Macdonald writes:

Official data shows Israel's population of 7.51 million comprises 5.66 million Jews and 1.53 million Arabs, plus some foreign residents. Of the Jews, some 500,000 are settlers in the occupied West Bank and East Jerusalem.
Palestinians account for some 1.5 million Arabs in the Gaza Strip and 2.5 million in the West Bank and East Jerusalem.

While Macdonald classifies Palestinians as Arabs, note how he slyly decomposes Israel's Jewish population into Jews and "settlers", the latter being those Jews who live in the West Bank (also, Judea and Samaria) and "East Jerusalem".  That Jews have lived continuously in Jerusalem (including the Old City) for centuries doesn't seem to factor in to Macdonald's rhetorical ploy thinking.

And note that while the Jewish population has risen to over 500,000 in areas where Jews were ethnically cleansed by Jordan between 1948 and 1967, the Arab population in these same areas has grown from less than 500,000 in 1948 to nearly 2.5 million today.  So we wonder: why are recent Jewish arrivals and their children "settlers" while recent Arab arrivals and their children are "Palestinians"?