Forgave their iniquity; not simply and absolutely, for so it is undeniably certain from the Holy Scriptures that God pardons none but true penitents, such as these were not; but respectively, and so far as not to destroy them at that time, which he threatened, and was about to do, as the next words limit and explain it. He remitted their punishment, for iniquity is oft put for the punishment of it. Heb. he expiated their iniquity. He accepted of their atonement, or of their professed repentance, so far as to compensate it with a removal of this outward and present affliction; as he did also to wicked Ahab upon his hypocritical humiliation, 1 Kings 21:29. And this God doth for the encouragement of all true penitents, who may hence learn how much greater and better recompences they may expect and shall receive from God. Did not stir up all his wrath; but set bounds to it; and though he chastened them, yet he would not utterly destroy them, as they deserved.
Related Commentaries of Psalms 78:38
Psalms 78:38
38 But he, being full of compassion, forgave their iniquity, and destroyed them not: yea, many a time turned he his anger away, and did not stir up all his wrath.