A pedestrian was killed when an attacker rammed the front end of a construction vehicle into an Israeli bus.
The attack occurred on a main thoroughfare near Jerusalem's light-rail line.
Police said five other people were lightly wounded in what they described as a "terrorist attack," indicating that they suspected Palestinian involvement.
There have been two days of quiet in Gaza. No rockets or missiles, no more destroyed houses, no more ambulance sirens screaming.
A three-year-old girl has been rescued from Gaza and brought to London for life-saving heart surgery.
A small team of NHS doctors and surgeons is travel to Gaza to set up facilities and establish how best to use specialists and equipment.