Attacks also continued against Israelis and Jews, with a Palestinian stabbing a policeman near a West Bank settlement before being shot dead by the victim, who was lightly wounded.
A Jewish 16-year-old was lightly wounded in a new stabbing in Jerusalem by an 18-year-old Palestinian suspect, who was arrested.
In the assault by a Jew, the assailant aged about 20 was arrested and told police he carried out the attack in the southern Israeli city of Dimona because "all Arabs are terrorists".
It marked the first such attack against Palestinians after at least 11 stabbings that have targeted Israelis or Jews since Saturday, killing two of them.
Later, a woman was shot after a stabbing attempt in northern Israel.
Israeli Prime Minister Benjamin Netanyahu quickly condemned the stabbings by the Jewish suspect, a sign of concerns it could trigger further violence.
Palestinians have also rioted in annexed east Jerusalem and the West Bank in recent days, with the unrest raising fears of a wider uprising or even a third intifada.
Hundreds of right-wing Jewish protesters marched in Jerusalem on Thursday night, including some chanting "Death to Arabs" and "No Arabs, No Attacks".
Tens of thousands of Palestinians also work in Israel, particularly in construction.
Friday's stabbing came as Israeli security forces sought to prevent the further spread of Palestinian unrest, with Netanyahu on Thursday night saying the country faced a mostly unorganised "wave of terror".
"These actions are mostly not organised, but they are all the result of wild and untruthful incitement from Hamas, from the Palestinian Authority, from several neighbouring counties and, no less, from the Islamic Movement in Israel," he said.
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