It is second such attack which comes days after Israeli raid in West Bank's Jenin refugee camp that killed 10 Palestinians.
Two people have been wounded in a gun attack outside Jerusalem's Old City, Israeli medics said, hours after a Palestinian gunman killed seven people a outside a synagogue in one of the deadliest such attacks in years.
"A 23-year-old male is in serious condition and a 47-year-old male in moderate to serious condition, with gunshot wounds to their upper bodies," a spokesman for Israel's Magen David Adom rescue emergency response service said on Saturday.
Israeli police claimed that a 13-year-old Palestinian boy was the assailant in the shooting in east Jerusalem adding that he was "neutralised and injured."
Earlier on Friday a gunman killed at least seven people and wounded three others near a synagogue on the outskirts of occupied East Jerusalem, a day after Israel killed ten Palestinians in the deadliest raid in the occupied West Bank in years.
MDA said it had received an emergency call about the attack at 10:42 am (0842 GMT).
READ MORE: Deadliest Israeli raid in West Bank in 20 years kills 10 Palestinians
"We were quickly on scene and saw two gunshot victims," MDA medic Fadi Dekidek said in a statement.
The victims were "fully conscious" and had been taken to hospital, he added.
Israeli forces earlier on Saturday arrested dozens of Palestinians for questioning after one of the deadliest attacks Israel had witnessed in recent years.
READ MORE: Israel arrests dozens in Jerusalem, boosts forces in occupied West Bank