There are no limits to humour — irreverent humour is a part of society (see Frankie Boyle, Julian Clary).
It’s simple: if people laughed at Del Rio’s joke then it was, logically, funny - for some people. Not everyone finds every joke funny, though. 
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In situations like this I guess people can make their feelings known (eg by tweeting), but also by not going to her gigs (nobody is forcing people to buy tickets)
End of conversation
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So a man dresses up as a grotesque parody of a woman to tell offensive anti-women jokes is OK?
End of conversation
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