Strange problem while creatig a post

Hi friends,

I recently successfully copied my blog from dev to production…
http://ww.wp.xz.cn/support/topic/226443

Now, the blog looks good, but when I try to create a new post, I get a strange behavior. The posting page’s categories section shows the whole page inside a frame…see the screen shot –
http://picasaweb.google.com/sumedh.inamdar/Work#5286588473087638242

And then the page redirects to post-new.php again and it hangs –
http://picasaweb.google.com/sumedh.inamdar/Work#5286588648871497362