Meanwhile in the Gaza Strip, three Palestinians, including a man who stood at a school gate, have been killed by Israeli troops.
In Jenin, more than 15 Israeli military vehicles surrounded the private al-Razi hospital before troops opened fire inside the building.
The army searched each room in the hospital, including the emergency ward, the financial and administrative director of the hospital, Fawaz Hammad, said.
Expensive equipment were severely damaged, he added.
Clashes erupted between Israeli forces and Palestinian fighters during the raid in the early hours of Monday, Aljazeera's correspondent reported.
An unknown number of Palestinians were detained and the troops surrounded and occupied several homes, the correspondent added. Other reports said Jenin's hospital was also surrounded.
A curfew has been imposed on the area with troops heavily deployed at all entrances into the city.
In the Gaza Strip, Israeli soldiers fired machine guns towards the Khan Yunis refugee camp, Palestinian security officials said. A 51-year-old civilian, Said al-Madhun, was killed as he stood at the gate of a local school. Three others were injured.
Also in Gaza, occupation troops killed two Palestinians near the Jabaliya refugee camp.
An unknown number of
Palestinians have been detained
The army said the Palestinians had been armed and in a no-go zone near the border fence with Israel.
Al-Nasr Salah al-Din Brigades has confirmed that two of its members, Muhammad Abu Askar and Hasan Dahir, had been trying to plant an explosive in the area near the line separating the Gaza Strip from land occupied in 1948, the correspondent added.
Aljazeera's correspondent in Gaza reports that three rockets have been fired at the town of Sderot and settlement Tebos Neraam.
One of the rockets damaged a house and slightly injured three people.
Israel says Jenin and its refugee camp is hosting wanted activists of al-Aqsa Martyrs Brigades and al-Quds Brigades.
The most prominent among them is Zakaria al-Zubaidi, leader of the al-Aqsa Martyrs Brigades in Jenin, whose relatives' homes have been repeatedly raided by Israeli forces.
Israel has also invaded the
Balata refugee camp
Israel has vowed to assassinate al-Zubaidi.
Israeli radio reported two Hamas activists were arrested at the start of the raid, but this has not been confirmed.
Meanwhile, Israeli forces raided Balata refugee camp, closing all its gates with sand barricades. The forces have also occupied some buildings in the camp.
In Rafah on Monday a Palestinian woman and a child were injured by random gunfire coming from the Palestinian-Egyptian border.