Leen Ritmeyer has a posted (with a follow-up) on his identification of several stones in the eastern wall of the Temple Mount that are clearly pre-Herodian. Ritmeyer dates them to the time of King Hezekiah, suggesting that he was the one to build the 500-cubit square Temple Mount that Ritmeyer has previously identified. He includes some helpful illustrations and photos.
A review of current excavations in Turkey is given at Today's Zaman. New Testament sites being excavated include Alexandria Troas, Miletus, Hierapolis, Sardis, Smyrna, and Laodicea. There are many other sites as well. Many of these cities have very impressive remains, unlike many sites in Israel. Today's Zaman also has an article on recent discoveries at Sardis.
NASA has a photo of a street of Ephesus at night, with (the planet) Jupiter illuminating the way.
Across the way in Greece, the ancient hippodrome of Olympia has been discovered. This is a good story that counters the myth that everything to be found has already been found.
A couple fragments of the Dead Sea Scrolls have now been published by James H. Charlesworth. One of the fragments may be from the Samaritan Pentateuch, and the other appears to be from Nehemiah, making it the first portion of that book to be found among the DSS. Paleojudaica gives more info and links.
If you're a tourist in Israel and have a question, you can now call the 24-hour tourist hotline. It's easy (dial *3888), but it's not a toll-free number.