gedit will not open when started from terminal

[spp58ca]

gedit works fine when started from the launcher or clicking on a file name. When I try to start gedit from a terminal gedit doesn't open and hangs until I hit ctr-c. There is no error output. Running from the terminal as root works fine. I created another user and have the same issue. I've reinstalled gedit and disabled all of the plugins. I ran a live cd and ran the system upgrade hoping that would clear things up. Nothing has worked so far.

I guess a permission problem of some sort. Is there a way to turn on debug output so I can see where gedit is getting hung up? Any other ideas?

Using Ubuntu 11.10 with all updates and gedit - Version 3.2.3