PARIS: A knife attack on Saturday in eastern France left one person dead and at least two others wounded, authorities said, in violence labelled as Islamic extremism by President Emmanuel Macron.

A 37-year-old Algerian man was arrested, prosecutors said. The attack occurred in the French city of Mulhouse near a covered canal-side market. The area borders Germany and Switzerland.

The French anti-terrorism prosecutor's office said that it's handling the investigation. Macron said that the perpetrator was an Islamic extremist, adding that the government has “complete determination” to respond to the attack.

France has been on high alert for extremist threats. Interior Minister Bruno Retailleau was heading to the scene of the attack on Saturday night.

The victim was a 69-year-old Portuguese man, the anti-terrorism prosecutor's office said. Those wounded were police officers who intervened.

The suspect had been on a list of people flagged for radicalism, the regional prosecutor said.