President Obama told Palestinians Thursday that the U.S. is committed to the creation of a free and sovereign state during his visit to the West Bank.

"The Palestinian people deserve an end to occupation and the daily indignities that come with it," said Obama in a joint press conference with Palestinian Authority leader Mahmoud Abbas.

"Put simply, Palestinians deserve a state of their own."

It was Obama's first visit to Palestine as the president.

He said "possibility continues to exist for a two-state solution," but said the continued settlement activity in the West Bank to be one of the challenges for negotiations.

"We do not consider continued settlement activity to be constructive, to be appropriate, to be something that can advance the cause of peace," said Obama.

Speaking to students in Israel, the president said Palestinians have the right to self-determination and that the U.S. opposes unilateral efforts to bypass negotiations through the United Nations.

"Put yourself in their shoes. Look at the world through their eyes. It is not fair that a Palestinian child cannot grow up in a state of their own," said Obama at the Jerusalem International Convention Center.

The president arrived in Israel Wednesday for his Middle East trip. He is expected to visit Jordan before heading back to the United States.