I am having trouble getting W3TC up and running with memcached. I have everything configured now and W3TC reports no errors, but when I telnet to memcahced and run the "stats" command, I see "curr_items" constantly bounce from ~5 to ~100. It's as if memcached populates objects and then immediately flushes them. Further "expired_unfetched" doesn't increment upwards so it's not as if memcahced is doing the expiration - at least I don't think that it is.
I am running the SQL, Object, and Page caching pointing to one memcached instance and I've set all the timeouts to between 3600 and 86400. I am stumped as to why memcached isn't persisting objects. Any ideas?