Argh! iPhone 2.0 App Store and Apps are $%#'ed

So I was at one point, able to log into the App Store, and "purchase" free apps... now I cannot hit the "OK" button when it prompts me for my password... or cancel for that matter, have to hit the home button, goto iTunes, get the App, then sync it back.
That worked until 2 days ago, now I cannot even run ANY apps! I have unsync'ed them (effectively deleting them), re-sync'ed them (re-installing) and every app will show me the title screen for about .5 seconds, then back to the home screen... Aren't I glad I got the 2.0...
Anybody have any ideas or seen this yet?

ok. So after unsynching apps, re-authorizing iTunes, re-synching... The iPhone now can use the apps, but the store on the iPhone still will not let me hit the Ok button... So no updates for me

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