Photoshop Text Tool

[Babooshka]

On Photoshop (both CS3 and CS4), I have found a problem with the text tool.

When I press enter, I obviously want this

However, currently, I get this

Why is it only going down by a fraction of a line at a time?

 

[r.j.s]

I forget exactly what it's called, but it looks like the line spacing option is screwed up.

 

[Raid]

Very strange. First thing that jumps to mind is that it's creating another text layer when you press enter... I do that all the time (well when I click to edit the text layer).

The other option is that the Paragraph window was altered to adjust the line spacing. My $0.02 on it, but I'm by no means a PS pro.