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I found what seems like a workaround to this: I swapped the VM into Bridged Ethernet mode and things now seem to be back to normal.
Same issue I'm also having the same issue having just installed the Apple security update yesterday. Reinstalling the Parallels Tools had no...
Having resinstalled the Parallels Tools this is now fixed. Sorry if I wasted anyone's time.
I all, I just upgraded to Parallels 3.0 and started a VM that has worked perfectly for me since I installed the beta ages ago. Now, when I drag...