Win 7: Can't Drag Windows or files but everything else works?

I have Windows 7 Home Premium and have been running it with no problems since last October.

Suddenly this evening I can no longer drag/move application windows or move files through drag-and-drop. I can minimize and maximize windows but then they are frozen in place, I can't move them.

It appears to have started when using MS Money 2007. I restarted the computer twice and the problem remained. When I opened MS Money again suddenly I can move windows and files. Maybe it is related, maybe not.

Any clue what the issue could be?

Everything else appears to work fine.
-Ran sfc/scannow and Windows seems to think the file system is fine.
-Scanned PC with AVG free and didn't find any issues
-RAM is listing fine, 6.0GB
-E6750 processor
-Nvidia 8600 GTS graphics card
-Hard drive has plenty of space

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