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New HP laptop pointer stuck in magnifying glass after wake-up, windows 7

When I close the laptop (fold the screen down), or put the laptop to sleep by pressing the sleep button,  and then later open the screen back up to use my laptop again, very often my mouse pointer has turned into a Magnifying Glass icon. If I try to move the mouse by using the Touchpad, instead of moving the mouse pointer, it zooms in or out of whatever window is open (ex. If a website is open, the text will get bigger or smaller. If I'm just at my desktop, the shortcut icons get bigger or smaller. Same functionality of the traditional Zoom.) The left and right click functions work like a mouse pointer would, but since I can't move the pointer, that doesn't help me much. Every time this happens, it lasts for several minutes no matter what I do. I have to  either wait it out or manually turn off the laptop and reboot.

This is a brand new HP dm3-1040us laptop.  I have not done much with it.  Only new software installed is firefox 64bit.  This is my first Windows 7 PC.  I checked the magnifyer settings under control panel, Ease of Access, and pointer settings.  Nothing seem to be related with the pointer turning into a magnifyer.  The magnifier option works.

Another less important question is that I moved some photos as background. But the option of maintaining aspect ratio doesn't work.  It always stretch to the aspect ratio of the display-1366x768.
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centerv
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Be sure you have windows updated.
Get latest graphics driver from hp. Remove and reinstall driver.
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ilnyc

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Windows is updated and set to automatic update.  I didn't think of the graphic drivers since I think the issue is with power management and magnifyer.   I will get the graphic driver updated and let you know what happens.  

Btw, in what normal usage situation would the mouse pointer change into a magnifying glass?   How do I even turn it on when it is a normal pointer?
Hour glass comes on when pc is working and running into delays.
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Magnifying glass != Hour glass
ASKER CERTIFIED SOLUTION
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centerv
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Also follow up with booting from win7 repair disc and see if it finds any problems as well
as running sfc /scannow for any potential bad files.
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centerv--thanks so much for finding the HP support forum thread.  I am going through it but it appears there is no solution at moment as you said.

I actually found another thread about the same problem, but it was only 2 posts long.

Unfortunately there is no optical drive. But I did update the graphic driver.  The problem is still here.  I am going to update all other drivers and see if that makes a difference.

RohitBagchi, Ease of Access is what I check and it is not the issue.  It is definitely off.  In fact when the mouse pointer is frozen in the magnifying glass shape, the magnifier function still works through windows++ and windows- key combination.  

Also I had another issue with the display background.  I can't make it maintain the original pict's aspect ratio (right click on desktop->panel fit -> maintain aspect ratio).  I also went through the control panel display setting to to avail.  This might be indicating something wrong with the graphic driver.  
...........This might be indicating something wrong with the graphic driver.  

Absolutely, as i mentioned above.
Disable areo and see if it helps.
Remove and reinstall driver booting in between.
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Thanks guys for the help. Updating graphic driver didn't make a difference.  But after I updated all drivers, the frequency of the problem greatly reduced.

I suspect the new multi touch pointer driver may have made a difference.

 I need to learn more about Windows 7.  When I am more familiar with it, I will uninstall the HP support center.