What is "God's covenant" that is referenced in this verse?

Imām Ibn al-Jawzī (d. 597 AH / 1201 CE) summarized the scholars' opinions in his book "Zād al-Masīr":

1. It refers to the how the People of the Book were given the description of Muḥammad (ﷺ) and commanded to follow him. [Ibn ʿAbbās, Muqātil]
2. It refers to the rulings given to them in the Qurʾān which they acknowledged, but then they disbelieved and broke the covenant. [Al-Suddī]
3. It refers to the primordial covenant that was taken from them when the offspring of Adam were extracted from his back. [Al-Zajjāj] Even though we do not remember this covenant, we have been informed of it by revelation from a truthful source, so it is obligatory to believe in it. [Q 7:172]