"An explosion in Manbij's busy market street, initial reports of casualties," Spokesman of the Manbij military council Shervan Darwish wrote on Twitter.
The UK-based Syrian Observatory for Human rights said at least eight people were killed.
A spokesperson for Operation Inherent Resolve tweeted Wednesday that the coalition is "still gathering information" about the explosion.
The attack comes less than a month after President Donald Trump announced that US troops would withdraw from Syria.
White House spokeswoman Sarah Sanders said Trump has been briefed on the situation.
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