Throughout his works, Nietzsche conveys great praise for the Jewish people. However, he obviously does not admire the consequences of their accomplishments. In the first essay of On the Genealogy of Morals, section 7, he asserts:
All that has been done on earth against "the noble," "the powerful," "the masters," "the rulers," fades into nothing compared with what the Jews have done against them; the Jews, that priestly people, who in opposing their enemies and conquerors were ultimately satisfied with nothing less than a radical revaluation of their enemies' values, that is to say, an act of the most spiritual revenge...
With the Jews there begins the slave revolt in morality: that revolt which has a history of two thousand years behind and and which we no longer see because it - has been victorious.
It is well known that Nietzsche despises the effects of slave morality and the priestly-aristocracy - the inversion of values it brings; how it renders men "impotent"; how it reduces the end of life into "nothingness." (reference section 6).
What, then, leads him to praise the Jews as such?
The Jews, on the contrary [to Rome], were the priestly nation of ressentiment par excellence, in whom there dwelt an unequaled popular-moral genius: one only has to compare similarly gifted nations - the Chinese or the Germans, for instance - with the Jews, to sense which is of the first and which of the fifth rank.
It seems to me that this has something to do with "popular-moral genius," but what does this mean? Is Nietzsche praising them because they have the talent to control the masses with their slave morality? Would he perhaps have been very happy to see their talents used not as the reactive men of ressentiment, but as the active, aggressive noble men?