On account of the heavenly scriptures which they had been given, the Jews were well aware of the conditions and attributes of the final Nabi. Allah Ta‘ala declares:
يَعْرِفُوْنَهُ كَمَا يَعْرِفُوْنَ أَبْنَاءَهُمْ
“They (the Jews) recognise him (i.e. Rasulullah [sallallahu ‘alaihi wasallam]) just as they recognise their own sons.” (Surah Baqarah v. 146)
However, they were not people of sound disposition. Jealousy, obstinacy, defiance and pride were their second nature. Allah Ta‘ala states:
وَجَحَدُوْا بِهَا وَاسْتَيْقَنَتْهَا أَنفُسُهُمْ ظُلْمًا وَّعُلُوًّا
“And they (the Jews) refuted it (the Aayaat) wrongfully and arrogantly (even though their hearts were convinced of the truth).” (Surah Naml v. 14)
Even while Rasulullah (sallallahu ‘alaihi wasallam) was in Makkah Mukarramah, the Jews would persistently incite the Quraish against him. They would often persuade the Quraish to ask Rasulullah (sallallahu ‘alaihi wasallam) about certain topics such as the As-haab-e-Kahf, the rooh (soul), Zul Qarnain, etc.
When Rasulullah (sallallahu ‘alaihi wasallam) performed hijrah (migrated) to Madinah Munawwarah, then the jealousy and defiance of the Jews flared even further. In due course, they came to realise that the days of their educational and academic superiority had drawn to a close, and the deviants among them followed in the footsteps of their predecessors in opposing the haq. They chose to follow the ways of those who murdered the Ambiyaa (‘alaihimus salaam) and the way of the As-haab-us-Sabt (the people of Saturday).
From the Ulama and rabbis of the Jews, those who were pious and had a sound disposition showed the prophecies regarding the final messenger to their people and these selected few embraced Islam. However, most of them preferred to tread on the path of defiance. Thus, jealousy and rebelliousness became the main cause for their downfall in the path of righteousness.
(Extracted from Seeratul Mustafa 1/454-455)