Clashes erupted in Jerusalem this afternoon after a Jewish settlement guard shot dead a Palestinian in the annexed Arab eastern part of the city.
Witnesses said another two Palestinians were wounded in the shooting. An Israeli spokesperson claimed the guard was attacked with stones by a group of Palestinians before the shooting.
The incident triggered clashes between police and rioters, with reports of violence within the al-Aqsa mosque compound.
Police said they entered the plaza to push back Palestinians who had thrown rocks at the nearby Jewish prayer site the Western Wall.
Footage shows Silwan residents took to the streets after the incident, overturning two cars, torching two others and throwing rocks at police and passers-by.
Police said they responded with teargas, water cannon and stun grenades.
At least seven Israeli civilians and a policeman were hurt in the clashes, police said.
Silwan residents said two Palestinians were wounded in the initial shooting and more in later confrontations, but exact figures are not yet available.
Hundreds of mourners attended the funeral of the dead man, who had five children and confrontations spread to the nearby Old City, where the al-Aqsa mosque abuts the Western Wall.
The flare-up came as peace talks between Israeli and Palestinians faced a crisis over the issue of Jewish settlements in the occupied West Bank and east Jerusalem.
A partial Israeli moratorium on settlement building expires on Sunday and Palestinians say they will quit the talks if Israel carries through with a decision not to extend the freeze.
Palestinian government spokesman Ghassan Khatib said the violence was evidence of Israeli poor faith.
'This violent escalation by the Israeli occupying forces represent destructive measures that defeat the peace building agenda,' Mr Khatib said.
Today's events come as a United Nations Human Rights Council inquiry found that Israel's military showed ‘incredible violence’ in its May raid on a Gaza-bound aid flotilla, violating international humanitarian and human rights law.
‘The conduct of the Israeli military and other personnel towards the flotilla passengers was not only disproportionate to the occasion but demonstrated levels of totally unnecessary and incredible violence,’ said the probe.
Israel's state-appointed inquiry into the lethal storming of a Gaza-bound aid flotilla in May is almost complete, the chief investigator said after one of his fellow panel members died.
Set up in hope of stemming international fury at Israeli marines' killing of nine Turkish pro-Palestinian activists aboard one of the ships, the Turkel Commission is also providing material for a separate inquest at the UN.
One of the five Israeli investigators, 93-year-old former ambassador Shabtai Rosenne, died of heart failure overnight but a spokesman said the commission's work would stay on schedule.
