Seems I have the same problem. Currently I can not:
Delete any files in My Documents - I get the messages "Windows XP has encountered a problem and has to close." or the DrWatson Post Mortem Debugger thing. Then freezes.
Delete cookies - just completely freezes
Uninstall any programs - get the messages:
An install support file could not be found/Unable to locate installation log file in C:|Program/could not open INSTALL.LOG file
Use System Restore - it goes through the motions but doesn't allow for system restore to actually happen.
This is what I am supposed to paste here next, apparently. Thanks everyone, looking forward to sorting this out.
Logfile of HijackThis v1.99.1
Removed HJT Log. HJT logs are ONLY allowed in the Malware Forum.
Edited by Fenor, 23 June 2007 - 09:01 AM.