A system and method for tracking the three-dimensional position and orientation of a surgical instrument as the instrument is being utilized within the interior of a patient body. A stereoscopic camera system generates a stereoscopic image of the patient body which is subsequently rendered on a display device. A wireless signal transmitted by an electromagnetic field generator is received by a sensor on the surgical instrument. Utilizing this sensor data, a processor calculates the position and orientation of the surgical instrument and then superimposes upon the rendered stereoscopic image of the patient body a graphical representation indicative of the position and orientation of the surgical instrument.
