Al-Mundhiri (4/86) and al-Haythami (10/259) said: “Its narrators are trustworthy.”
It is found in Mawarid al-Zam'an (2565)—whose wording is followed here—and is also documented in the sixth volume of al-Sahihah, no. 2559. I find it exceedingly strange that the scholars of both sides overlooked citing it as evidence and in rebuttal—especially al-Hafiz Ibn Hajar al-‘Asqalani, so that we might know his view concerning the angels’ testimony before their Lord that they are the choicest of His creation. I do not think he could find any interpretation for it other than yielding to its plain indication.
Similar to it is the hadith under this heading, yet none of them mentioned it. Perhaps this is because they likewise hold that it is particular to human beings, to the exclusion of the angels, as was explained at the outset of this hadith documentation. This was also the view preferred by Imam al-Alusi in his exegesis, Ruh al-Ma‘ani (3/264). Allah is the Granter of success.
As for the hadith, “Ali is the best of creation,” it is among the fabrications of the Shi‘ites. It has been narrated from Abu Sa‘id al-Khudri, and is documented in al-Da‘ifah, no. 5593; and from Jabir ibn Jabir, no. 4925. Al-Alusi also cited it from Abu Hurayrah, as reported by Ibn Abi Hatim, and from Aishah, Ali, and Ibn Abbas, as reported by Ibn Mardawayh. I have not come across their chains of transmission. It is apparent that they were fabricated by the Shi‘ites or by other unreliable narrators and liars. This is why al-Alusi followed them with the words:
“Establishing the authenticity of those reports is more difficult than stripping thorns from the thorny acacia. And Allah Most High knows best.”
It should also be noted that Abu Hurayrah’s report appears there as “attributed to the Prophet,” whereas I believe this to be a corruption; it should read: “attributed to the Companion.” For it is well known that later scholars generally rely on al-Durr al-Manthur when tracing the reports of exegesis, and the hadith found there (6/379) is not attributed to the Prophet!*