I'll be working away and then the mouse cursor will just stop moving, no the mouse is still moving, because i can move the ghost mouse down to start and shut down. all the while the visible mouse just stays locked in one position When windows shuts down, mouse resumes normal operations. any one else seen this?
Yes, this is happening to me. In the last build, the great majority of the time that I attach a USB mouse, it fails to appear to move, although it is actually moving - you see buttons respond to mouseover events. In previous builds, the mouse worked great -- you got an ignorable warning message, then the mouse worked smoothly across mac and xp windows. I'm taking a lot of work that requires a mouse out of parallels until this is fixed.
But if I remove the mouse by clicking on it from the Parallels USB device list, the mouse works fine immediately. The ghost mouse problem goes away.