On this date in 1948, the British withdrew, the state of Israel was declared, and President Harry Truman quickly recognized the new country. The next day, May 15th, war with Israel's neighbors broke out. Israel was attacked by Lebanon, Syria, Jordan, Egypt, and Iraq.
By the time the armistace was signed, Israel had actually gained ground while Jordan annexed the West Bank. Jerusalem was effectively divided by Israel and Jordan, and it would stay divided until the 1967 War.