The 8-year-old boy was shot in the thigh near his home on Beekman Avenue just after 5 p.m.
He is in stable condition and being treated at a local hospital.
The boy was walking on the sidewalk with his grandmother when he got caught in the gunfire.
"They grabbed the baby, and then everyone just dissipated. With bullets, no one waits, you know?" said Alejandrina Brioso, a neighbor.
Police were on the scene quickly and were able to chase down the two suspects before they were able to flee the scene.
Police recovered one firearm from the scene, and sources say the police have surveillance video showing at least of the men firing at an unknown target on the block.
"They just shot each other back and forth, the baby caught in the middle, and then everybody dissipated-- dodged, that's it," said Brioso.
It is not yet clear what may have led up to the shooting.
The identities of the two people in custody have not been released.
The investigation is ongoing.
This story will be updated as more information becomes available.
ALSO READ | Houston Rockets guard accused of assaulting former WNBA player girlfriend at NYC hotel: police
----------
* More Bronx news
* Send us a news tip
* Download the abc7NY app for breaking news alerts
* Follow us on YouTube