Okay fixed it already. I right-clicked on the navbar and chose "Customize...". From there I saw a big white empty box in the area where my link icons usually would sit. I just dragged this white box off of my browser back into the optional tool items and wah-la, fixed.

Also a note to the web developers at mozilla.com... you should put in a notification if a user doesn't have cookies enabled because when you don't, you can't add a post here. Even if you get the post number code correct, you just get an error it wasn't correct.

Same problem for me.

I have my search engine on the same bar as the bookmarks toolbar. I noticed that the search bar extended most of the way across the toolbar and that my bookmark favicons were truncated and had to hit the dropdown arrows to access them.

I, too, figured just customizing the toolbar would do the trick and it did...until I started the browser up again.

For the time being, I moved the search to the navigation toolbar but would prefer it on the bookmarks toolbar.

Background info:
Running WinXP SP2
Extensions: Customizegoolge, WOT, Nuke Anything, BugMeNot, IE View Lite, Download Helper, SQLite Manager, and Java Quickstarter

I have no themes and also doubt that any of the addons would contribute to the problem.

Finally, I am using the Private Browsing mode but already tried turning it off but the problem persists.

Looks like we may have stumbled onto a small bug.

Well I also added the code below to my userChrome.css file. I don't believe it helped solve my problem but who knows.

/* remove New Tab button */
.tabs-newtab-button {display:none !important;}

#bookmarksBarContent .bookmark-item {visibility: visible !important;}