Bazaar mouse cursor behavior

Running win7 all updates current.

I've been noticing something that seems really bazaar to me. I've never seen it before.

I haven't figured out what confluence of circumstances cause it but what I see is shown in the two sets of images attached. In these images the scheme I have set is the `windows inverted extra large scheme'.

In the default scheme (windows aero system scheme) (not in the image) it is not near as ugly.. but I think mainly because its quite a lot smaller. In that scheme it appears as a bit of a double image but still quite noticeable. (aero scheme not shown below)

I did before and after in the images.... top row after the bazaaro thing started, bottom normal

I first tried to do the screen grabs by taking a short video with camtasia and then save out the appropriate frames...(in order to capture the cursor) but oddly enough, in the video, the problem
just disappears. or rather it cannot be seen, so I had to resort to taking the shots with
my cell phone. Those are the top row below.

Since the bottom row is in plain mode I was able to grab them with my little cheapo screen grabber.

I did 3 shots against different backgrounds so it would show better what I see.
... What in the heck would cause something like this happen?