I can no longer open Zip files from IE on my Windows 7

[dc2000]

I'm curious why can't I open Zip files from IE anymore? I haven't installed anything (except automatic updates), but what started to happen recently when, say, I need to download a Zip file (like this one) if I then click "Open" I get a window like this (see attached.)

This happens only when I do this from IE 10 which was working OK about a week or so ago.

Why am I getting this message?

 

[ThrashZone]

Windows handles zip folders just like a regular folders win-7 zip is not nessesary,
What happens if you right click the download link and click on Save target as ?
http://www.sevenforums.com/tutorials/19449-default-file-type-associations-restore.html

 

[dc2000]

Windows handles zip folders just like a regular folders win-7 zip is not nessesary,

I'm not using Win-7 zip. I always opened zip files in Windows own Windows Explorer.

What happens if you right click the download link and click on Save target as ?

I can save it just fine. Note that if I double-click that saved zip file (on my desktop where I just saved it) it opens up in Windows Explorer without a problem. This issue happens when I try to click "Open" in that dialog window in IE (screenshot attached to my original post) but worse still, also if I try to double-click a zip file in a Windows Explorer window connected via ftp to a remote server.