The ''each loop'' is never entered in IE6/IE7, but works just fine in Firefox 2:

function testXml()
{
	var theXml = "<test><item id='1'>one</item><item id='2'>two</item></test>";		
	
	$(theXml).find('item').each(function() 
	{
		var theItem = $(this);
		var theId = theItem.attr("id");
		var theText = theItem.text();		
		alert("Id=" + theId + " Text=" + theText);
	});
}

However, if I introduce a conditional XML DOM parse, the above example works just fine:

function testXml()
{
	var theXml = "<test><item id='1'>one</item><item id='2'>two</item></test>";		
	theXml = parseXml(theXml);
	
	$(theXml).find('item').each(function() 
	{
		var theItem = $(this);
		var theId = theItem.attr("id");
		var theText = theItem.text();		
		alert("Id=" + theId + " Text=" + theText);
	});
}

function parseXml(xml)
{	
	if (jQuery.browser.msie)
	{
		var xmlDoc = new ActiveXObject("Microsoft.XMLDOM"); 
		xmlDoc.loadXML(xml);
		xml = xmlDoc;
	}
	
	return xml;
}

Version Info:

/*

• jQuery 1.2.6 - New Wave Javascript

*

• Copyright (c) 2008 John Resig (jquery.com)
• Dual licensed under the MIT (MIT-LICENSE.txt)
• and GPL (GPL-LICENSE.txt) licenses.

*

• $Date: 2008-05-24 14:22:17 -0400 (Sat, 24 May 2008) $
• $Rev: 5685 $

*/