More than 100 countries have defied US President Donald Trump to vote in favour of a United Nations General Assembly resolution calling for the United States to withdraw its decision to recognise Jerusalem as Israel's capital.
Mr Trump had threatened to cut off financial aid to countries that voted in favour.
His warning did appear to have some impact, with nine countries voting against the resolution and 35 abstaining.
A total of 128 countries voted for the resolution, including New Zealand. Australia and Canada abstained.
"Israel completely rejects this preposterous resolution," Israeli Prime Minister Benjamin Netanyahu said after the vote. "Jerusalem is our capital - always was, always will be. But I do appreciate the fact that a growing number of countries refuse to participate in this theater of the absurd."
Palestinian leader Mahmoud Abbas called the vote a "victory for Palestine".
"We will continue our efforts in the United Nations and at all international forums to put an end to this occupation and to establish our Palestinian state with east Jerusalem as its capital."
The 193-member UN General Assembly held the rare emergency special session at the request of Arab and Muslim countries to vote on the draft resolution, which the United States vetoed on Monday in the 15-member UN Security Council.
Generating outrage from Palestinians and the Arab and Muslim world, and concern among Washington's Western allies, US President Donald Trump abruptly reversed decades of US policy on December 6 when he recognised Jerusalem as Israel's capital.
Palestinians have protested daily in the occupied West Bank and in the Gaza Strip since Mr Trump's announcement, throwing stones at security forces and burning tyres. Gaza militants have also launched sporadic rocket fire.
Eight Palestinians have been killed by Israeli gunfire during the demonstrations and dozens wounded, Palestinian health officials said.
Two militants were killed in an Israeli air strike in Gaza after a rocket attack.
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Mr Netanyahu, in his speech, thanked Mr Trump and Ms Haley for "their brave and uncompromising stance".
He repeated his prediction that other countries would eventually follow Washington's lead in pledging to move their embassies from Tel Aviv to Jerusalem.
"The attitude towards Israel of many countries, on all continents, outside the walls of the United Nations, is changing and will ultimately permeate into the UN - the house of lies," he said.
Most countries regard the status of Jerusalem as a matter to be settled in an eventual Israeli-Palestinian peace agreement, although that process is now stalled.
Israel considers Jerusalem its eternal and indivisible capital and wants all embassies based there.
Palestinians want the capital of an independent Palestinian state to be in the city's eastern sector, which Israel captured in the 1967 Middle East War and annexed in a move never recognised internationally.
Several senior diplomats said Ms Haley's warning was unlikely to change many votes in the General Assembly, where such direct, public threats are rare.
Some diplomats brushed off the warning as more likely aimed at impressing US voters.
Reuters / Newshub.