Running the scan now. also i'm running the steam verify cache again to double check file integrity.
And it's odd my dxdiag didn't pull all the info.. ran it the usual way, didn't take a close look at it. I guess it was just because I had the game running at the time, must not have liked that. I ran it again and this time, there was no dxdiag crash.

here is the corrected dxdiag
http://pastebin.com/t7eAixpi
I know my sound drivers are very basic, as I think those are the only drivers I have not personally replaced while purchasing newer / better hardware. Haven't had much in the way of any sound issues though, so I've seen no reason to go mucking about unnecessarily.
I had opted voluntarily to use 32 bit windows 7 because of emulation compatibilities, and the fact that I only have 4 gigs of memory anyway, My next system, will definitely be windows 7 64 bit, however.

The only time I've ever run in to any in game performance issues was when I built a massive complex in Herron's Nebula xD (40+ stations) but that's understandable. Other than that, the game's been running pretty smooth. especially after I bumped all the settings down to medium. and disabled anti aliasing and the like. The in game mouse just moves slower because of software acceleration, or so it seems to me. I won't even pretend to know how the mouse coding works in this game.

(I keep my windows mouse on maximum speed).
I've been running the game in windowed mode lately, so that it's somewhat easier to watch netflix on my secondary monitor, browse the internet etc while I wait on trading ships / autopilot arrivals.

But this issue has been an on and off occurrence with or without windowed mode enabled. I was hoping there was a simple way (like in a config file somewhere) to disable the in game mouse, or to disable the software acceleration/deceleration . or perhaps re-hide the windows mouse whenever the x3 window tab is selected, regardless, it's not too big of an issue, as I mostly use keyboard controls / joypad controls anyway. But it was something recurring that I've noticed, so I figured I'd post about it here.

Let me know if that new dxdiag copypasta has what you were looking for, if not I'll look at the announcement post again to double check i'm doing everything right. I've only ever known one way to gather dxdiagnostic data though.

The game runs smoothly on medium settings in both windowed and full screen mode.

just feels like there's some sort of software deceleration on the in game mouse is all. (well, when compared to my windows cursor speed, anyway.) I've seen little in the way of in game mouse options in the options menu. was wondering if there were any unseen options.
Thanks for your help ^^ and thanks for looking through my mess of a dxdiag

Any other thoughts are much appreciated.