Santa Claus tries to outrun a gang of knife-wielding youth. It's one of several vignettes of Palestinian life in Israel - in a neighborhood in Nazareth and at Al-Ram checkpoint in East Jerusalem. Most of the stories are droll, some absurd, one is mythic and fanciful; few words are spoken. A man who goes through his mail methodically each morning has a heart attack. His son visits him in the hospital. The son regularly meets a woman at Al-Ram; they sit in a car, hands caressing. Once, she defies Israeli guards at the checkpoint; later, ninja-like, she takes on soldiers at a target range. A red balloon floats free overhead. Neighbors toss garbage over walls. Life goes on until it doesn't.

Chronicle of a Disappearance unfolds in a series of seemingly unconnected cinematic tableaux, each of them focused on incidents or characters which seldom reappear later in the film. Among the many unrelated scenes, there is a Palestinian actress struggling to find an apartment in West Jerusalem, the owner of the Holy Land souvenir shop preparing merchandise for incoming Japanese tourists, a group of old women gossiping about their relatives, and an Israeli police van which screeches to a halt so several heavily armed soldiers can get off the car and urinate.