Police in Israel say Palestinian residents of East Jerusalem torched cars and threw stones at police Thursday, following a confrontation with Jewish residents.
It was not immediately clear what started the clashes in the Silwan neighborhood. Residents say the violence broke out after Jewish settlers approached a mosque. One witness said they were on their way to a nearby spring.
Tensions have been high in Silwan because of Israeli government plans to demolish Palestinian homes built illegally in the area.
Palestinians want East Jerusalem to be the capital of a future Palestinian state. Israel claims the entire city as its own undivided capital.
A day earlier, Israel's hardline foreign minister, Avigdor Lieberman said Israel should resume settlement building in the West Bank after a 10-month freeze expires next month.
Palestinians are demanding a complete freeze in construction as a condition for peace talks with Israel, due to resume in Washington next week.
Lieberman also said expectations for the talks should be lowered, calling Israelis and Palestinians very "different in outlook and approach."
He said the negotiations are unlikely to reach an agreement within a year - a time frame announced by the United States.
