Palestinians and one Israeli soldier killed in East Jerusalem

"This is an obvious form of collective punishment, it is not acceptable - all those who are using these permits to meet with their families and to be with them during Ramadan are doing so during the month, because most of the year they are not able to do so", Touma-Suleiman said.

"Let the Jews expect the demise of their entity at the hands of the Caliphate soldiers", it said, calling the attack "revenge for God's religion and for the violated sanctities of Muslims".

The attack unfolded along Sultan Suleiman Street, near Damascus Gate in the Old City.

Israeli police have shot dead three Palestinians after a deadly knife attack outside the Old City of Jerusalem, in which a policewoman died.

Nearby, Palestinians fired at officers with an automatic weapon and attacked them with knives before officers returned fire, killing them.

Israeli security forces and a military bulldozer raid the occupied West Bank village of Deir Abu Mashal near Ramallah on Saturday after the Jerusalem attack.

The three have been identified as Bara' Ibrahim Ata, 18, Osama Ahmad Ata, 19, and Adel Hasan Ankoush, 18. One of the attackers reportedly was holding a gun, but it jammed.

SITE Intelligence Group, a company that tracks online activity of white supremacist and jihadist organizations, said the Islamic State (ISIS) claimed the attackers as part of their organization. Israel lightened security and travel restrictions last month for the Muslim holiday but has revoked some travel permits in response to the attack. The three attackers were shot dead by police.

Following the attack, Prime Minister Benjamin Netanyahu chose to cancel permission for Palestinians to visit family members in Jerusalem and Israel, officer said. He said it was a move to "confuse the media and distort the reputation of the Palestinian resistance".

In addition, Israeli forces closed off Deir Abu-Mash'al, the Ramallah-area village where the three Palestinians who carried out Friday's attack were from.

IS issued a statement taking responsibility for the stabbing and shooting attacks Friday evening.

The Israeli defense body COGAT announced the decision Sunday, shortly after Prime Minister Benjamin Netanyahu said that preparations to destroy the homes of the three Palestinian assailants were underway. The Old City in annexed east Jerusalem is one of the focal points of the wave of violence. And they do not claim every attack. "The payments made by the Palestinian Authority to terrorists and their families encourage heinous attacks like we saw today", Israel's ambassador to the U.N. Danny Danon said.

Palestinian officials reject the accusation and say the violence stems from anger over Israeli occupation of land sought by Palestinians.

  • Leroy Wright