Anyway, I found a problem that solves it for me. AVG Web Shield was causing my issue. I have no evidence to support my claim other than when I restarted my computer and started using Internet Explorer 8 the problem went away. Could be coincidence :)
Steps to disable Web Shield
- Double click the AVG icon in the notification area of your taskbar
- Double click Web Shield icon circled below
- Uncheck Enable Web Shield (require browser restart)

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