You are right when you say: "...the Jews could have cared no less whether the Pals were Muslim, atheist or Southern Baptist."

You are wrong when you say: "...They [the pals] universally despise Jews because they are Jews."

This strife and hatred (going both ways) would have developed no matter who was living in Palestine. If the Jews had been Quakers (while behaving the way the Jews have behaved), then there would be Jihads vs. Quakers (damn Quakers - just kidding).

Going the other direction, the Jews would have come to hate anyone who stood in the way of Israel's existance.

I am sitting within 10 feet (next cube - I can hear her rustling) of a beautiful Russian Jewish lady who has relatives in Israel. Nice lady, and we get along fine. But every time the topic of Palestinians comes up, I get to hear a tirade of how all Palestinians are dirty, stupid, lazy, ignorant, unteachable, and on and on. It only takes once or twice before any sane person would come to the conclusion that the Palestinians are her niggers.

Note: I make no claim that my sample of one should be generalized to all Jews. It is an indicator, not proof of anything.