The report quoted Israeli army sources as saying that the Israeli military opened fire at the woman and shot her dead, after she stabbed an Israeli soldier at Gush Itzion settlement in Hebron.
The Israeli soldier was slightly injured, it added.
Friday, the Israeli army announced the arrest of another woman who tried to stab an Israeli soldier, also in the city of Hebron.
Tensions have been running high between Jews and Arabs in recent months, after the kidnapping and killing of a 15-year-old Palestinian from east Jerusalem by Jewish extremists in July. Prior to that, three Israeli teens were abducted and killed by Palestinian militants near Hebron in June.
Fuelling the tension was Israel’s expansion of its settlements in east Jerusalem, on land annexed during the 1967 Middle East War, home to more than 300,000 Palestinians.
A major reason behind the recent escalation in tension is the situation at Temple Mount, a place holy to both Jews and Muslims. Recently, Jewish politicians called for letting Jews pray at the Muslim Temple Dome complex, which they are not allowed to do in line with the status quo settlement with Jordan, which co-runs the site.
More than 11 Israelis have died in militant attacks in recent months in Jerusalem as the tension threatens to spill across Arab communities throughout Israel.