"The Internet has become a vehicle for spewing almost unlimited anti-Semitic hatred and Holocaust denial," David Rosen, director of the Anti-Defamation League said.
The number of anti-Semitic Internet sites doubled, according to the report compiled by Tel Aviv University's Stephen Roth Institute for the Study of Contemporary Anti-Semitism and Racism, the World Jewish Congress, and the ADL.
Jewish groups have reached agreements with commercial Internet providers to flag anti-Semitic sites and link them with balancing information, Rosen said.
Worldwide, the incidence of anti-Semitic violence, which peaked in 1993-94, has remained relatively low. The report cited 38 violent attacks such as arson, shootings or bombings in 1997, up from 32 in 1996. Reported attacks that did not involve weapons or property damage numbered 113, compared with 165 in 1996.
However, the report warned of the potential for a new wave of violence partially spurred by the growth in extreme-right populist parties.