I have been having the same problem with the visual edit buttons and images.
I went back to the default theme, deleted all of the plugins and the problem is still there.
Then I uninstalled wp with Fantastico and re-installed it and I have the same problem.
I have other wp blogs with the same host without any probs.
What am I missing?
Thanks!
I too love Suffusion.
Tech type stuff is not my forte but with Suffusion, I keep getting better at customizing each day.
It really is the best free theme available.
I have purchased about 4 themes and none of them hold a candle to Suffusion.
Thanks for a great theme.